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UNOCAL STARTS NATION'S FIRST OLD-CAR BUYBACK PROGRAM FOR EMISSION CREDITS

 LOS ANGELES, July 27 /PRNewswire/ -- Unocal Corp. today became the first company in the nation to buy older, heavily polluting vehicles with advance approval to use the emission reductions as an offset to emissions from a stationary source.
 Unocal's SCRAP(R) III project, which was unveiled today, will purchase 350 pre-1972 model year vehicles under the South Coast Air Quality Management District's Rule 1610. The emission credits will be used by the company's Los Angeles Refinery in Wilmington to postpone installation of vapor recovery equipment at Unocal's marine terminal in Los Angeles Harbor.
 "The SCRAP III project will enable our community to enjoy a greater clean air benefit than if we retrofitted the marine facilities," said Richard J. Stegemeier, Unocal chairman and chief executive officer. With the 1.2-to-1 offset ratio required under Rule 1610, scrapping heavily polluting cars will reduce air emissions by 20 percent more than if a company simply proceeds with modifications to a facility.
 "The adoption of this rule by the SCAQMD shows that market-based approaches can be an important part of improving the air quality in the Los Angeles Basin, while lowering the cost of pollution control," Stegemeier said.
 He noted that the current economic recession makes it especially important to pursue programs that are affordable while yielding the desired air quality results. "It allows businesses to choose compliance approaches based on cost and efficiency, thus protecting jobs in the Los Angeles Basin," he said.
 Credits from scrapping the old vehicles this year will be used to offset some of the emissions from marine loading operations in 1994 through 1996.
 Annual emissions from the pre-1972 vehicles that will be purchased under SCRAP III are estimated to be 38,500 pounds of hydrocarbons (ROG), 10,500 pounds of nitrogen oxides (NOx) and 210,000 pounds of carbon monoxide (CO). In return, Unocal will receive mobile source emission credits, granted on a ratio of 1.2 to 1, of 32,000 pounds per year of ROG and 8,700 pounds per year NOx for three years. No credit will be given for the reduction in CO emissions.
 Once the vehicles are purchased, the engines, transmissions and exhaust systems will be removed and destroyed. The remaining parts from selected vehicles will be sold to licensed dismantlers for recycling in accordance with Rule 1610 guidelines.
 The SCRAP III project and Rule 1610 are an outgrowth of Unocal's first SCRAP project in 1990. That project demonstrated the effectiveness of such projects by removing nearly 8,400 pre-1971 model year vehicles from the road, and eliminating 12.8 million pounds of potential air pollution from Los Amgeles' air each year.
 Last month the company conducted the SCRAP II program. In this program, Unocal purchased 500 1971 to 1979 model year vehicles to gather real world data on emissions from 1970s vintage vehicles. The results of the SCRAP II project, which was conducted in concert with the California Air Resources Board, will be published later this year.
 The company began taking reservations earlier today from individuals in the Wilmington area who wished to sell their vehicles under the SCRAP III program. Unocal gave residents in the harbor area near the company's refinery and marine terminal advance notice of the buy-back program since their area is impacted by emissions from the company's operations.
 "Giving the local residents first chance at participating in the program will enable Unocal to purchase more of the vehicles from the harbor area and help balance the emission reductions with the emissions from the marine terminal due to the deferment in the modifications," Stegemeier said.
 The company pointed out, though, that vehicles from throughout the SCAQMD are eligible for the SCRAP III program.
 Unocal will take reservation from individuals interested in selling their pre-1972 vehicles to the SCRAP III project until the program is filled. The company will take additional names for possible inclusion in future programs. Those individuals interested in participating should call the SCRAP III line, 213-520-1801, for details on how to qualify.
 -0- 7/27/93
 /CONTACT: Barry Lane of Unocal, 213-977-7601/


CO: Unocal Corp. ST: California IN: OIL ENV AUT SU:

JB-MF -- LA029 -- 6280 07/27/93 13:33 EDT
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Date:Jul 27, 1993
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