GPC to Pay Record Environmental Fine

A district court judge on Thursday ordered Grain Processing Corporation of Muscatine to pay $1.5 million, the largest civil penalty ever paid to the state for environmental violations.


The plant processes grain into ethanol and various feed, industrial and food products.   A release from the Iowa Attorney General’s office states the judge’s order includes an “unprecedented provision” requiring GPC to convert its boilers from coal-fired to natural gas-fired, which will reduce more than 12,000 tons of air pollutant emissions per year.


The company estimates the changes will cost between $15-17 million in capital expenses, plus $1 million per year in operating costs, and $4-12 million per year in increased fuel costs.