In anticipation of billions in environmental fines-2

By Saule Tasboulatova

On July 23, the cassation board of Atyrau regional court after review, dismissed the appeal filed by NCOC and Agip KCO about recognizing the instruction issued by the Department of Ecology as illegal. The instruction was about the payment of ecological damage in the amount of 134,2bn tenge.

In their complaint Kashagan project operator and the agent company asked to recognize the audit results of Ecology Department as illegal and, respectively, to recognize the statements of audits and the instruction for compensation of ecological damage in the amount of 134,2bnn tenge also as illegal. 

To recall, in March of this year according to the results of unscheduled inspection that was carried out during technological failures of the gas pipeline near Bolashak plant, the Department of Ecology issued the instruction to Agip KCO and NCOC about compensation of damage for 134,2bn tenge, caused as the result of flaring nearly 3 mln. cubes  of sour gas on D island.(see."Court ruling orders NCOC and Agip to pay 134 billion in environmental fines", “In anticipation of billions in environmental fines”). Both companies disagreed with the results of audits and filed an appeal to the specialized inter-district economic court, then to appeal board of regional court. In both cases the appeals were dismissed. The next instance where they appealed was the cassation board of the regional court. The press secretary of the regional court Boranbai Galiev said that , today, July 23, the board dismissed the complaint of the applicants. In their turn, at the beginning of July the Department of Ecology appealed to inter-district economic court with the statement of claim about collecting from NCOC and Agip KCO an ecological penalty in the amount of 134,2bn tenge.