Stellantis unit to pay $5.6 million to resolve California emissions probe

WASHINGTON, Oct 13 (Reuters) – Stellantis (STLA.MI) unit FCA US pays $5.6 million to resolve a California investigation into violations of air high quality rules, the state mentioned on Thursday.

The California Air Assets Board (CARB) mentioned the 30,600 autos concerned within the settlement embrace 2012-2018 mannequin yr Ram 1500, Jeep Grand Cherokee and Dodge Durango autos that have been geared up with 5.7L gasoline engines and didn’t adjust to certification emission requirements.

FCA pays a $2.8 million civil penalty and $2.8 million to convey extra electrical faculty buses to varsities within the South Coast Air Basin. CARB mentioned FCA cooperated with the investigation into the emissions concern found throughout state testing.

“This case is an ideal instance of why CARB’s compliance testing is so vital in defending the state’s air high quality and public well being,” mentioned CARB Govt Officer Steven Cliff.

Stellantis mentioned Thursday: “Whereas we settle for duty, this doesn’t mirror our technique for the longer term,” noting that it was working to introduce 25 U.S. electrical autos by 2030.

In a separate emissions probe, FCA US in June pleaded responsible to legal conspiracy and agreed to pay about $300 million in a plea settlement to resolve a U.S. Justice Division diesel emissions fraud investigation.

The Justice Division mentioned FCA US put in misleading software program options to keep away from regulatory scrutiny and fraudulently assist the diesel autos meet required emissions requirements.

FCA US beforehand paid a $311 million civil penalty and paid over $183 million in compensation to greater than 63,000 folks as a part of a class-action diesel lawsuit.

That is FCA’s second settlement with California previously 4 years.

In 2019, CARB settled with FCA over allegations it used “defeat system software program” to bypass emissions testing on greater than 100,000 diesel autos nationwide.

California obtained greater than $78 million of the $500 million settlement.

FCA merged with French Peugeot car maker PSA in 2021 to type Stellantis.

Reporting by David Shepardson; Modifying by Mark Porter, Deepa Babington and Edmund Klamann

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