Navistar International Corporation (NYSE: NAV) yesterday reached an agreement with the Environmental Protection Agency (EPA) in which EPA promised to hold a public workshop or hearing to address issues Navistar raised in its federal court appeal of EPAâ€™s certification policies for SCR-equipped diesel powered trucks.
Navistar had asked the United States Court of Appeals in Washington, D.C. to void those polices because the EPA had adopted them without the public process required by law, but instead following input only from the SCR engine makers. In its appeal, Navistar charged that EPA is using those policies to allow SCR- equipped diesel powered trucks to operate for extended periods without any control of NOx emissions and is certifying SCR engines as meeting NOx emission requirements when they do not.
The agreement reached yesterday provides that EPA will â€śengage in a public process to reexamine its policies, for future 2011 and later model year enginesâ€ť during which it will â€śprovide a thorough review of EPA’s policies regarding operation of SCR-equipped enginesâ€ť. EPA also has promised to â€śensure, among other things, that SCR equipped heavy duty diesel engines are designed to properly control emissions as required under applicable regulations.â€ť The agreement must be published by EPA in the Federal Register for comment before it can become final.
â€śWe are pleased with this agreement and look forward to participating in the public process,â€ť said Jack Allen, president of Navistarâ€™s North American Truck Group. â€śWe believe that with full and open public participation, EPA will develop a new approach that will result in equal enforcement of the 2010 NOx requirements for all engine makers.â€ť
In March, Navistarâ€™s MaxxForceÂ® DT mid-range diesel engines and MaxxForceÂ® 13 big bore diesel engines were certified by the EPA for model year 2010.