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Home Business & Finance Stock Market

Stellantis unit to pay $4.2 million to resolve California emissions probe By Reuters todayheadline

December 24, 2024
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© Reuters. FILE PHOTO: The logo of Stellantis is seen on the company's building in Velizy-Villacoublay near Paris, France, March 19, 2024. REUTERS/Gonzalo Fuentes/File photo
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By David Shepardson

(Reuters) -Stellantis unit FCA US agreed to pay $4.2 million to resolve a California investigation into excess emissions, the state said on Monday.

The California Air Resources Board (CARB) said the vehicles covered by the settlement for violations of air quality regulations include 2014 through 2016 Ram ProMaster 1500, 2500 and 3500 vehicles equipped with 3.0L diesel engines.

The state said the vehicles had an unapproved device that circumvented emissions control and resulted in nearly 55 tons of excess oxides of nitrogen being released into the air. Stellantis (NYSE:) in 2022 paid a $5.6 million settlement to California for similar allegations involving gas-powered vehicles.

Stellantis did not immediately respond to a request for comment. The company agreed as part of the settlement to recall the vehicles to modify the emission control system to be compliant with state regulations.

The settlement includes a more than $2 million civil penalty that will go to the state’s Air Pollution Control Fund and $2.1 million that will fund a project to provide incentives for ocean-going cargo vessels to slow down in certain areas during peak whale and ozone seasons to provide wildlife and air quality benefits.

In a separate federal emissions probe, FCA US in June 2022 pleaded guilty to criminal conspiracy and agreed to pay about $300 million in a plea agreement to resolve a U.S. Justice Department diesel emissions fraud investigation.

In 2019, California settled with FCA over allegations it used “defeat device software” to circumvent emissions testing on more than 100,000 diesel vehicles nationwide. California received more than $78 million of the $500 million settlement.

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