Campbelltown Council will receive compensation from oil giant Caltex to settle a fuel leakage dispute.

The Environment, Resources and Development Court found the council had been forced to spend $150,000 on a membrane underneath two swimming pools to ward off potential petrol leaks from a service station.

Drawing to a close a dispute that has lasted almost four years, Judge Jack Costello ruled the council had to protect two pools at The ARC recreation hub against potential leaks from the Lower North East Rd servo across the road.

The Messenger reported last year the council was seeking a total of $390,000 from Woolworths-Caltex.

Campbelltown Council has won compensation against Caltex over potential petrol leaks opposite The ARC leisure centre. Picture: AAP /Roy Vandervegt

Judge Costello said on Friday compensation would be finalised in the ERD on July 5.

“Council is entitled to (compensation) for costs and expenses incurred in installing a membrane underneath two swimming pools,” Judge Costello said.

“Council suffered loss… and expenses in taking action to prevent or mitigate loss sustained as a result of Caltex’s (actions).”

He found Campbelltown’s decision to take action was reasonable “when assessed against the information known to it at the time”.

The council had earlier sought reimbursement of $80,000 from Caltex to clean up contaminated soil at The ARC which they believe was caused by the service station.

It then pushed for a further $72,000 last year, following further environmental investigations.

The council’s chief executive officer, Paul Di Iulio, said he was relieved a decision had finally been made.

“We are happy with the result,” Mr Di Iulio said. “It’s good to see our actions supported by the court. We had to take action from a safety perspective for our community.”

A Caltex-Woolworths spokeswoman said the company was “currently reviewing the decision”.

Extracted from Daily Telegraph