MEDIA ADVISORY GEORGIA PUBLIC SERVICE COMMISSION FOR IMMEDIATE RELEASE December 17, 1996 CONTACT: Shawn Davis Public Relations Specialist (404) 656-6558 or 1-800-282-5813 TIME-LINE FOR COAL TAR CLEAN-UP APPROVED BY PSC ATLANTA -- Environmental clean-up of coal tar remaining at eight former manufactured gas plants throughout Georgia will begin in early 1997 according to a schedule approved today by the Georgia Public Service Commission (PSC). The PSC ordered Atlanta Gas Light Company (AGL) in October to submit a clean-up schedule after an audit raised questions on the progress of the clean-up and how the utility expended ratepayer monies paid into an Environmental Response Recovery Fund. Clean-up is slated to begin in early 1997 at five of the sites and will continue through completion at all of the sites in 2000 (see illustration below). "We have made a commitment to consumers to hold th~ company accountable for the approved clean-up schedule and we will monitor the progress :In all the sites in cooperation with the EPD," said Commissioner Bobby Baker. Before pipelines made natural gas widely available in the 1950's, the plants manufactured gas by burning coal and oil at extremely high heat which produced a by-product known as coal tar, believed to be linked to potential health risks. Established by the PSC in September of 1992, the fund permits Atlanta Gas Light Company to recover from ratepayers no more than 5% of its jurisdictional sales for expenses associated with environmental clean-up costs of the former plants. AGL recovers clean-up costs through an Environmental Response Recovery Rider which amounts to an average of 5 cents per month for the average ratepayer, depending on therms used. The results of an audit performed by an outside consultant for the PSC and released in September determined that through June of 1995, the company has collected $9.7 million from the ratepayers and has reportedly incurred $15.6 million in related costs, most of which are attributable to litigation. The utility stands to recover, through the rider, an additional $2.9 million for the period ending in June of 1997. AGL's clean-up activities up to now have consisted of technical evaluations and litigation against insurance companies to provide coverage of its manufactured gas plants. In addition to ordering the clean-up schedule in October, the PSC prohibited the company from using the clean-up fund for payment of any damage awards which might arise from litigation against the company. (more) ~ECE'VE:O DEC 18 1996 DOCUMENTS ~;:;A LIBRARIES Page 2 of2 AGL Coal Tar Clean-Up Atlanta Gas Light Company Manufactured Gas Plant Clean-Up Schedule Site Date to Begin Corrective Action Date to Complete Corrective Action Augusta Holder Tank January 7, 1997 May 2,1997 Augusta West Parcel April 1, 1997 June 1, 1997 Augusta Canal June 2, 1997 December 1, 1997 Augusta Entire Site January 1, 1998 October 1, 1999 Griffin February 3, 1997 April 7, 1997 Rome June 2, 1997 September 30, 1997 Brunswick May 14,1998 November 17, 1998 Athens May 31, 1998 November 30, 1998 Savannah March 1, 1998 December 1, 2000 Valdosta September 1, 1998 December 6, 1999 Waycross September 1, 1998 December 6, 1999 Macon 1 July 1, 1999 April 1, 2000 Macon 2 No Further Action Planned Remedial Actions Taken Atlanta 1 " " " " Atlanta 2 u " u " ###