Green groups sue Chevron Phillips over pollution

HOUSTON Aug 19 (Reuters) - Two environmental groups filed a lawsuit against Chevron Phillips Chemical Co LP over alleged violations of the U.S. Clean Air Act at its Cedar Bayou plant, located east of Houston, said representatives of the groups on Wednesday.

The Sierra Club and Environment Texas allege the 50-50 petrochemical joint-venture between energy giants Chevron Corp (CVX.N) and ConocoPhillips (COP.N) repeatedly violated limits for pollution set in operating permits issued by regulators for the plant.

A Chevron Phillips representative was not immediately available to discuss the lawsuit.

"The effects of pollutants released from the Cedar Bayou plant can be felt as far away as downtown Houston and beyond," said Neil Carman, Clean Air Program Director for the Lone Star Chapter of Sierra Club.

A single release on Oct. 7, 1999, from the Chevron Phillips plant contributed to "the single worst ozone day in Houston in the last 20 years," Carman said.

Ground-level ozone is a primary component of smog.

The lawsuit alleges the thousands of violations occurred during malfunctions at the plant in the past five years.

The groups are discussing a possible settlement to the lawsuit with the company, said Luke Metzger, executive director of Environment Texas.

"We are very encouraged we can find some resolution to the case," Metzger said.

The lawsuit filed against Chevron Phillips on Wednesday in the U.S. District Court of the Southern District of Texas in Houston seeks an end to excessive pollution from the plant and civil penalties of up to $32,500 per day for each violation of the Clean Air Act.

Shell Oil Co, the U.S. unit of Royal Dutch Shell Plc (RDSa.L), agreed in April to settle a similar lawsuit by improving operations at its joint-venture Deer Park, Texas, refinery and pay $6 million to reduce pollution from school buses and place solar panels on public buildings. (Reporting by Erwin Seba; Editing by Lisa Shumaker)