Stellantis’ FCA US unit has agreed to pay $4.2 million to resolve a California investigation into excess emissions, covering 2014-2016 Ram ProMaster vehicles equipped with 3.0L diesel engines, Reuters news report said.
The California Air Resources Board (CARB) identified the use of an unapproved device that circumvented emissions controls, releasing nearly 55 tons of excess nitrogen oxides into the air. Stellantis vehicles include Ram ProMaster 1500, 2500 and 3500 with 3.0L inline-4 diesel engines.
“CARB’s robust compliance testing ensures that auto manufacturers sell the exact vehicles that received certification for sale within California, without alterations made to skirt the state’s regulations and release excess emissions that harm air quality and public health,” said CARB Executive Officer Dr. Steven Cliff.
As part of the settlement, Stellantis will recall and modify the affected vehicles to comply with state regulations. The settlement includes a $2 million civil penalty for the state’s Air Pollution Control Fund and $2.1 million for a project aimed at improving wildlife and air quality through incentives for cargo vessels to slow down during peak whale and ozone seasons.
In a related federal investigation, FCA US previously pleaded guilty to criminal conspiracy and agreed to pay about $300 million in 2022 for a diesel emissions fraud probe. At that time, CARB found that FCA violated the Motor Vehicle Pollution Control Device Regulation with certain gas engines.
Additionally, in 2019, California settled with FCA for using defeat device software to bypass emissions testing on more than 100,000 vehicles, with California receiving more than $78 million of the $500 million settlement.
Is this penalty enough?
The penalty imposed on Stellantis for violating emission laws is relatively modest considering the significant environmental and public health implications of the violation. The company is paying a total of $4.2 million to resolve the emissions probe, including a $2 million civil penalty and a $2.1 million contribution to an air quality and wildlife improvement project. However, this settlement also includes the recall and modification of affected vehicles, which should help mitigate the damage caused by the excess emissions.
In the context of Stellantis’ past involvement in emissions violations, including the 2022 criminal conspiracy plea and the 2019 settlement with FCA, the financial penalties may appear insufficient given the broader context of environmental harm. The fine of $4.2 million may not be a strong enough deterrent to prevent future violations, especially when considering the $300 million fine imposed for the diesel emissions fraud probe and the multi-million dollar settlements in previous cases.
While the settlement may help improve air quality and public health through some corrective actions, critics could argue that the financial penalties for emissions violations should be more substantial to adequately deter corporations from engaging in similar behavior in the future.
Baburajan Kizhakedath