The U.S. Justice Department is suing Atlanta-based Colonial Pipeline Co. over oil spills in Georgia and other places. The suit, filed on behalf of the U.S. Environmental Protection Agency, alleges that the firm's 5,300-mile pipeline has caused serious spills during the past few years, including several in Georgia.

Federal officials allege in the complaint that the firm illegally discharged about 3 million gallons of gasoline and other petroleum products into rivers and streams in nine states. Four of those spills occurred in Georgia, while others occurred in the Carolinas and Tennessee. The suit claims that pipeline corrosion, mechanical damage and operator error caused the spills.

Under the Clean Water Act, officials are seeking major civil penalties. The act authorizes the court to impose civil penalties of up to $25,000 per day of violations before January 1997, and $27,500 per day after then. In an earlier settlement, the company agreed to pay more than $13.5 million in fines.

Proposal to limit greenhouse gases. President Clinton has called for new federal regulations limiting power plants' emissions of carbon dioxide-the primary greenhouse gas. He also called for similar controls on emissions of mercury, another pollutant frequently produced by power plants.

Clinton has proposed a cap-and-trade system, under which the government would set a national limit on emissions, and divide pollution allowances among the power plants. Companies could cut their emissions enough to stay within their allowances; or, they could cut even more of their emissions and sell the leftover allowances to other companies that may have cut their emissions less extensively and need more allowances.

Clinton did not provide any numbers for how much he wants to cut these emissions. Many in Congress oppose any steps by the U.S. to regulate greenhouse gases.

States crack down on diesel fumes. North Carolina and Georgia are among 14 states that have launched a new drive to cut pollution from heavy-duty diesel trucks sold in their states. The action is aimed at forcing manufacturers of big diesel truck and bus engines to comply with stricter testing procedures two years before even tougher federal regulations go into effect in 2007.

Officials say the pollution controls would require an estimated 400,000 new heavy-duty trucks and buses, likely to be sold in 2005 and 2006, to comply with the stricter testing procedures. State officials believe the tougher standards would amount to thousands of tons of reduced air pollution, equivalent to removing millions of cars from the road. In 1998, the major engine manufacturers promised to adopt more stringent testing procedures that ensure diesel trucks will comply with emission-reduction standards during highway driving.

Other air-related, federal court developments. EPA reached a settlement with a Virginia power utility that could set a precedent for power companies across several regions, including Georgia Power and its parent, the Southern Co., in the South.

The settlement has Virginia Power Co. agreeing to spend $1.2 billion to reduce air pollution at its plants, pay $5.3 million in penalties and perform $13.9 million in environmental projects. This settlement follows a similar agreement reached with Tampa Electric Co. in Florida earlier in 2000.

EPA is suing Georgia Power and the Southern Co. for alleged violations at power plants in Georgia, Alabama, Mississippi and Florida. Although EPA officials said other utilities should follow this example, a Georgia Power spokesperson was quoted in a daily newspaper as saying they still believe the case was without merit and would continue to move forward with the litigation.

In another action that could have repercussions for Georgia, several U.S. Supreme Court justices said they are skeptical about requiring the government to consider compliance costs when devising clean air standards rather than just the health benefits. If the court's ruling-expected next spring-is in favor of EPA, metro Atlanta will implement more stringent air standards, and the cities of Columbus, Augusta and Macon would be added to the list of non-attainment areas and face similar strict standards.

Industry forecasts. In a recent construction conference forecast, Timothy Fields Jr., EPA's administrator for solid waste and emergency response, predicted that federal and state governments will spend more than $32 billion over the next five years on environmental remediation. There is a new emphasis in partnering with the private sector for the reuse of cleanup sites, he said. About 50 of these pilot reuse projects have been funded, and EPA expects to facilitate the redevelopment of 400 brownfield sites by 2005.

And according to a water industry forecast, the demand for advanced water treatment technologies, such as reverse osmosis, will continue to rise as seawater desalination becomes a more viable method of providing fresh water. U.S. sales of bulk water systems are expected to reach $989 million by 2002, compared to $832 million in 1999. The publication is available at www.bccresearch.com.