Feed manufacturer fined for canola oil leak impacting native wildlife

Media release
Milne Agrigroup Pty Ltd has been fined for causing a significant canola oil spill that entered a stormwater system and contaminated a water drainage basin in Welshpool.
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Milne Agrigroup Pty Ltd has been fined for causing a significant canola oil spill that entered a stormwater system and contaminated a water drainage basin in Welshpool.

The conviction follows a Department of Water and Environmental Regulation (DWER) investigation into the company’s Welshpool feed production facility, where a leak in a 34,000-litre storage tank went undetected for 10 days in May 2023.

Approximately 6,120 litres of canola oil leaked from one of its holding tanks into the tank’s containment bund, with about 500 litres entering a stormwater drain that connects to a Water Corporation drainage basin on Ewing Street.

When DWER officers inspected the site on 17 May 2023, they observed a substantial oil slick covering the basin and multiple oil-affected waterbirds, including several that were deceased. Wildlife rescue volunteers and Water Corporation contractors commenced clean-up efforts immediately.

The Perth Magistrates Court heard the leak resulted from failures in oversight of the oil delivery, structural deficiencies in the storage tank bund, and inadequate internal processes to detect the ongoing loss of oil. Milne admitted responsibility for the spill during DWER’s investigation.

In court, Milne Agrigroup pleaded guilty to one charge of causing material environmental harm under section 50B(2) of the Environmental Protection Act 1986.

The spill caused environmental harm, impacting grebes, ducks, herons and moorhens. Clean-up operations took about a month, with approximately 10,000 litres of contaminated material removed.

The court issued a fine of $15,000 with court costs of $814 plus ordered the Company to pay for clean-up costs in the amount of $88,814.86.

Executive Director of Assurance, Ruth Dowd said the incident highlighted the importance of strong environmental controls and routine maintenance.

“Canola Oil entering the stormwater system had direct and avoidable impacts on native wildlife,” Ms Dowd said.

“The responsibility lies with operators to ensure their infrastructure is properly maintained and risks are effectively managed to avoid this kind of environmental harm.”

Report pollution and other environmental incidents to the Environment Watch hotline on 1300 784 782 or online at environmentwatch.wa.gov.au.

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