7 Utility Firms Accused in Air Pollution Suit

American Electric Power Corp., Cinergy Corp., Illinova Corp., Southern Co. and three other Midwest and Southern utilities are being sued by the U.S. government for allegedly polluting the air with emissions from 17 coal-fired electricity-generating plants.

The Justice Department filed the lawsuits to recover what officials said could be as much as $1 billion in fines and penalties for violations of the Clean Air Act dating back 20 years and to cover the cost of pollution-control devices.

The action is probably the largest clean air enforcement action ever taken against the utility industry, said David Hawkins, an attorney with the Natural Resources Defense Council.

The cost of retrofitting the plants to meet Environmental Protection Agency standards is estimated to be from $8.4 billion to $12 billion.

Installing pollution controls on the 17 plants, plus seven others operated by the Tennessee Valley Authority, would be equivalent to taking 26 million cars off the road, an EPA official said.