A proxy statement released last week ahead of Duke’s annual shareholder meeting in May revealed that a portion of Good’s $8.3 million compensation was cut 35% in 2014.
Good wasn’t the only one to face cut backs, with the compensation of four other top executives linked to short-term incentives also docked by the same amount.
Duke’s directors said the executives were docked as the spill would cost the company $192 million in legal fees, cleanup and fines to settle a pending criminal case involving Clean Water Act violations.
"In order to hold the senior leaders of Duke Energy accountable for its financial and operational performance, these expenses were factored into the calculation of their pay,” the proxy statement said.
Duke said last week it would “vigorously contest” the “unprecedented” civil penalty imposed by North Carolina’s environmental regulators relating to the LV Sutton steam electric plant in Wilmington.
On March 10, the North Carolina Department of Environment and Natural Resources (NC DENR) fined Duke Energy $25.1 million for groundwater violations at the Wilmington facility.
“This is a difficult step, but we cannot allow this level of regulatory overreach to go unchallenged,” North Carolina state president Paul Newton said.
“The actions by NC DENR send a chilling message to the North Carolina business community.”
Duke said it would file a formal appeal with the North Carolina Office of Administrative Hearings by April 9 demonstrating the specific instances where it believed NC DENR acted contrary to law, exceeded its authority or jurisdiction and did not follow proper rules and procedures.
“We take very seriously our responsibility to care for the communities around our facilities,” Newton said.
“That’s why we monitored groundwater at the Sutton plant, routinely shared data with the state and voluntarily acted to ensure local residents continued to have a high-quality water supply.
“Our work has been proactive and focused on the well-being of the community. We took accountability and addressed the issue at Sutton ourselves.
“We are as committed as ever to closing ash basins in ways that protect groundwater. We will continue to advance those plans while we sort through this separate legal issue.”
