State issues cease and desist order to energy company at northern Colorado site

LARIMER COUNTY, Colo. (KRDO) -- The Colorado Department of Public Health and Environment's Air Pollution Division (CDPHE) has ordered Prospect Energy to immediately cease operations at its Krause site north of Fort Collins because of repeated violations that endanger public welfare.

According to the CDPHE, the decision comes after it exhausted other options to correct those violations, including initiating several enforcement actions. Colorado statute gives the state the authority to shut down a source of pollution if it creates an unhealthy or disruptive environment for nearby residences or businesses.

The CDPHE said that if Prospect Energy can demonstrate that it has identified and addressed all concerns, it may resume operations at the Krause site.

Prospect Energy's Krause site is close to at least one home and two other businesses. The CDPHE said they have conducted multiple inspections at the site, following odor complaints from nearby residents. Inspectors found multiple violations at the Krause site, including emissions of volatile organic compounds from storage tanks. They also found that some of the illegal tank emissions at the Krause site happened because Prospect Energy failed to properly maintain its vapor lines.

The CDPHE said it has initiated four total enforcement actions with Prospect Energy since December 2021, showing a pattern of violations within the company. In response to enforcement actions, Prospect Energy submitted information to the division that indicates the Krause site is not properly designed, operated, or maintained, according to the CDPHE.

The department inspected the Krause site again on August 11 and found that illegal emissions have continued.

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