GN unveils bad gas compensation scheme

Shell Canada will pay Nunavut customers who say their spark plugs were fouled by bad gasoline last year up to $180, with no questions asked, and will require no receipts, the Government of Nunavut’s petroleum products division has announced.

The compensation will be in the form of gasoline vouchers and will be reimbursement for fouled spark plugs at $6 each for up to 30 spark plugs per claimant.

For claimants who have receipts for 30 or more fouled spark plugs, the company will provide full reimbursement, also in the form of gasoline vouchers, at the actual cost of the plugs to the claimants.

Customers who say their vehicles suffered engine damage will have to file claims through the petroleum products division, but “this involves a thorough investigation into the complaint,” the GN said in a statement.

“I am pleased that Shell has stepped forward as a good corporate citizen,” said Levinia Brown, the minister of Community and Government Services, in a statement released last week.

“This has been a complex situation and we have had good cooperation from Shell in addressing the concerns about the fuel.”

Shell customers who live mainly in Kivalliq communities experienced problems between September 2004 and April 2005 with abnormal spark plug fouling because of gasoline supplied by the company’s refinery in Edmonton.

The company acknowledged that its own investigation showed the bad gasoline resulted in spark plug fouling that would have led to short-term engine performance issues, such as excessive exhaust smoke, engine stalling, uneven idling and backfiring.

Information on how to access claim forms will be made available on community radio stations and through newspaper advertising.

The GN says the following communities received gas from the Edmonton refinery: Arviat, Baker Lake, Chesterfield Inlet, Coral Harbour, Rankin Inlet, Repulse Bay, Hall Beach, Igloolik, and Sanikiluaq.