Steel Mill Settlement Curbs Unbridled Development In NC

North Carolina Environmental Defense, the North Carolina Coastal Federation, and the Pamlico-Tar River Foundation (PTRF) today settled two lawsuits against the state of North Carolina Department of Environment and Natural Resources (DENR) over its inadequate environmental review and permitting of a new steel mill on the Chowan River.

The new mill, owned by Charlotte-based Nucor Corporation, will be located on the banks of one of the most sensitive stretches of the Chowan, a principal tributary to the national treasure Albemarle Sound. Plaintiff environmental groups sued the State last year after it rushed its environmental review of the mill, clearing the way for Nucor to build its new facility despite serious threats to marine and estuarine resources. Fast-track approval of the Nucor facility was particularly troubling since the company stands to receive over $160 million dollars in state tax incentives and other public subsidies.

One of the plaintiffs’ principal charges was that, in the rush to bring new development to rural Hertford County, DENR violated the State Environmental Policy Act by approving key environmental permits before the environmental assessment was even completed. These approvals paved the way for Nucor to prematurely clear 400 acres of land and begin construction of the mill. Under today’s settlement, DENR agrees to put an end to this practice for future industrial projects.

“It’s unfortunate that a lawsuit was needed to make the state enforce its own regulations against unbridled development,” said Daniel Whittle, a lawyer for Environmental Defense. “Industrial recruitment can help our state only when it’s good for the economy and the environment.”

“DENR’s premature approval of Nucor’s environmental permits sent the message that state environmental laws can be ignored if needed to accommodate a company’s construction schedule,” said Jim Stephenson, a policy analyst for the NC Coastal Federation. “Under this settlement, DENR agrees to put an end to those shenanigans.”

The settlement does not prohibit Nucor from completing construction on its Hertford County mill. However, the state will modify Nucor’s air permit to require additional monitoring of pollutant levels and will participate in a three-county growth management process to identify and mitigate environmental impacts of any new industrial, commercial and residential growth likely to result from the new steel facility. In addition, DENR also agreed to provide to the state Department of Commerce a list of environmentally sensitive sites in the state to ensure that the state does not encourage incompatible development in these areas.