Safeway store US

US grocery retailer Safeway has reached a settlement with the Environmental Protection Agency and the Department of Justice over allegations that it violated the country's Clean Air Act.

As well as the civil penalty, Safeway has agreed to a US$4.1m plan to reduce emissions of substances that harm the ozone, from 659 stores.

Safeway had allegedly failed to repair leaks of HCFC-22, although the settlement resolves the claims.

The company is also aiming to cut refrigerant emissions at its worst-offending stores by 10 per cent per year up to 2016.