The Environmental Protection Agency (EPA) has decided to grant a new pollution control licence to T&J Standish Sawmills in Co Offaly.
The EPA said, however, that it would go ahead with a prosecution against the sawmills in Roscrea District Court this morning for breaches of the company's current integrated pollution control licence.
The EPA has previously successfully prosecuted the company for breaches of its existing licence and recently warned farmers in the area not to dredge a local river because of pollution from the plant.
Among those warned not to dredge the river were the family of Minister of State Tom Parlon, who farm nearby.
The new licence proposed by the EPA is now subject to a 28-day period of public consultation starting from last Monday, during which objections may be made.
According to the EPA the proposed licence carries "more stringent" conditions than its predecessor and will require the company to set up a community liaison committee as well as having an on-site environmental control officer.
Some of the conditions attached to the licence, such as the provision of roofed areas with cement floors and storage areas, will require planning permission.
A spokeswoman said she could not say what the position would be if the company was granted the licence but was refused planning permission to implement its conditions. She said the EPA had no role in the adjudication of planning permission.
The business was refused planning permission for retention of its buildings by An Bord Pleanála in July 2003. A subsequent application for retention was approved by Offaly County Council, a decision which is itself now under appeal to An Bord Pleanála.
The agency also said it had not been aware of existing pollution when the first integrated pollution control licence was granted to the plant. It added that under the more stringent terms of the new licence, existing pollution levels were expected to fall. The risk of future pollution would be reduced.
Deborah Standish welcomed the decision to grant a new licence yesterday, telling The Irish Times that "it is good news". Asked if she was aware when the licence would come into effect, she said she did not know "but we have it now. You can print a big spread."
However, members of the Aghancon Concerned Residents Association said they were "deeply disappointed by the action of the EPA".
A spokesman told The Irish Times that residents in the valley had campaigned against the licence. "We're gutted. Where is the EPA's role as protector of the environment? Where is the Office of Environmental Enforcement here?"
