Valero Refinery to Pay EPA Penalty After Safety Violations Uncovered

Federal inspectors identified chemical risk miscalculations, delayed reporting, and emergency system gaps at a Southern California refinery following a multi-year review.

• By Stasia DeMarco
• Jun 06, 2025

The EPA has reached a $270,437 settlement with Ultramar Inc., doing business as Valero Wilmington Refinery in California, to resolve violations of federal chemical safety regulations under the Clean Air Act and the Emergency Planning and Community Right-to-Know Act.

The company has since corrected the deficiencies identified during a 2022 EPA inspection, according to the agency.

“I had hoped that Valero would invest in upgrades to their California facilities and stay in business in our state. They will soon shut down at least one California refinery and leave,” said EPA Pacific Southwest Regional Administrator Josh F.W. Cook. “This will be a huge hit to gas prices in California, Nevada, and Arizona. This settlement today ensures that Valero has improved its safety systems and emergency response procedures at the Wilmington refinery. As they continue toward closure elsewhere in the state, we at EPA will continue to monitor the situation.”

During the inspection, the EPA found that the refinery had underestimated how far toxic chemical concentrations could spread in a worst-case scenario release. Officials said such miscalculations could leave nearby schools, businesses, and residences vulnerable in the event of a hazardous chemical release.

Additional violations included inaccurate equipment diagrams critical for emergency responders, inadequate assessment of the risks posed by facility-wide power failures, failure to implement previously recommended safety improvements, and missing data in both operating procedures and incident reports.

The agency also found that Valero failed to comply with reporting requirements under the Emergency Planning and Community Right-to-Know Act. The company did not immediately notify state emergency officials of sulfur dioxide releases in 2018, 2020, and 2021, each exceeding the 500-pound threshold that mandates prompt reporting.

The Wilmington facility uses hydrofluoric acid, a highly hazardous substance regulated under the Clean Air Act’s Risk Management Program. A release of the chemical can cause severe health damage or death.

EPA officials stated that they will continue oversight of the refinery and monitor Valero’s broader operations in the region.

The facility refines petroleum using hydrofluoric acid, a highly dangerous chemical. Hydrofluoric acid can cause severe, permanent health problems if released. The Clean Air Act’s Risk Management Program regulates industrial processes that produce, process, or store more than 1,000 pounds of hydrofluoric acid.