Tag Archives: American Association of Railroads (AAR)

Does keeping hazardous rail cargo secret make Maine safer?

Repost from the Bangor Daily News

Does keeping hazardous rail cargo secret make Maine safer?

By Darren Fishell, Oct. 28, 2015, at 9:17 a.m.
A new state law that took effect Oct. 15, 2015, exempts information about freight rail cargo from Maine’s Freedom of Access Act. While shipping crude oil by rail, as illustrated in the 2013 photo in Hermon, has largely ceased, a spokesman for the environmental group 350 Maine questions whether the new exemption is meant more to quell protests than to protect business interests or promote better communication between railways and first responders.
A new state law that took effect Oct. 15, 2015, exempts information about freight rail cargo from Maine’s Freedom of Access Act. While shipping crude oil by rail, as illustrated in the 2013 photo in Hermon, has largely ceased, a spokesman for the environmental group 350 Maine questions whether the new exemption is meant more to quell protests than to protect business interests or promote better communication between railways and first responders. Brian Feulner | BDN

PORTLAND, Maine — Information revealing when, where and how much hazardous material is shipped by rail through Maine became sealed from public view under state law earlier this month, in a move first responders hope will allow them greater access to information about dangerous materials passing through the state.

The new exemption to Maine’s Freedom of Access Act — the only new exemption to become law during the last legislative session — in June cleared a veto from Gov. Paul LePage, who wrote he believed any information in the hands of first responders should be public.

The railroad industry, however, has pushed for shielding for those shipments from public records, citing safety reasons and business confidentiality.

“Maine didn’t have the exclusion, and [railroads] just didn’t share the information,” Mike Shaw, an Amtrak employee and former lawmaker from Standish, said. “I figured that if it can be in the hands of [first responders] and I don’t know about it, it’s better than nobody knowing it at all.”

Shaw, the bill’s sponsor, resigned from the Legislature in August after moving to Freeport.

Safety and security

Jeffrey Cammack, executive director and legislative liaison for the Maine Fire Chiefs’ Association, said the issue of how to get that information from railroad companies is on the group’s upcoming agenda.

“What we’ve heard from the chiefs is that sometimes [a hazardous material shipment] is stored on the rails in their community and they don’t know it’s there,” Cammack said. “They hope to have some dialogue with the railroad companies just about how long it’s there and why it might be there.”

Cammack said first responders would be better able to prepare for a disaster, spill or derailment with that knowledge.

“The person in control of the product and the emergency responders will have a response plan,” Cammack said. “That’s what we look to gain.”

The highest concern, he said, has been about hazardous materials stored in a town at times for multiple days without emergency responders being alerted.

Shaw said he believed the American Association of Railroads helped with the language of the bill, which initially shielded such records when in the hands of first responders. In testimony, Shaw advocated for broadening that exemption to all state or local agencies.

Ed Greenberg, with the American Association of Railroads, could not confirm the association’s direct involvement in the bill language, but said the industry has general concerns about the security of shipments and proprietary business information.

“Whenever there is sensitive information in whatever level is made public, we believe it elevates security risks by making it easier for someone intent on causing harm,” Greenberg said.

Cammack said that’s not the biggest concern of the Maine Fire Chiefs’ Association.

“We know that for 99.9 percent of the people, that isn’t an issue,” Cammack said.

Nate Moulton, director of the Maine Department of Transportation’s Office of Freight and Business Services, said competition between railroads and other shippers also is a legitimate business concern.

“No. 1, do you want them or your trucking competitors to know how much you’re moving?” Moulton said. “If you’re a trucking company, you don’t post publicly what you’re moving and how much.”

The new exemption in Maine covers all types of hazardous materials that might be shipped by rail, which could include information about other shipments, including some chemicals delivered to paper mills.

The St. Lawrence and Atlantic Railroad, which runs from Portland to Quebec, was the only company that reported lobbying on the bill, in February. The railroad transports chemicals, forest products, brick and cement, food and agricultural feed products, and steel and scrap, according to its website.

Crude oil concerns

The fight over that kind of shipment information ramped up in the wake of the Lac-Megantic, Quebec, explosion that killed 47 people in July 2013. Federal rules required new disclosures for regular, large shipments of crude oil from the Bakken Formation, beneath North Dakota, Montana and the Canadian provinces of Saskatchewan and Manitoba.

Read Brugger, an activist with 350 Maine who protested the transport of crude oil through the state, said shippers generally have sought greater secrecy about their cargo.

“Keeping secret what travels through our communities continues to be high priority for the shipping industry — be it by rail, truck or boat,” Brugger wrote in an email. “They rightly fear that releasing that information to an informed public would unleash a backlash that they could not control.”

Federal rules since May 2014 have required notification to state emergency responders about trains carrying 1 million or more gallons of that type of oil, a requirement that prompted railroad companies to seek nondisclosure agreements with several states over the information.

But any shipments, and especially any of that scale, are unlikely to roll through Maine any time soon. Only two trains carrying shipments of crude oil have come through Maine since the Lac-Megantic accident. Brugger noted the only shipments through Maine in recent years have been less than that amount.

Chop Hardenbergh, publisher and author of the trade newsletter Atlantic Northeast Rails and Ports, wrote in an email that such shipments by rail aren’t likely to pick up until oil prices do.

In addition, Irving’s New Brunswick refinery is not receiving any crude oil by rail and by 2020 could have access to TransCanada’s proposed Energy East pipeline, Hardenbergh wrote.

More rail freight

With a $37 million freight rail improvement project moving ahead after gaining federal funding earlier this week, Moulton said that likely will mean more freight traffic after its expected completion date of summer 2017. That stands to benefit the forest products industry and a booming market for propane shipped by rail, but as common carries, rail shippers are subject to regional demands.

“They don’t get to pick and choose what they move,” Moulton said. “Any legal product they have to quote a rate and then they have to move it.”

About the new disclosure law, Moulton said there are competing priorities.

“It’s a balance, and hopefully we’re finding that balance so that we don’t upend the needs of the railroads and the shippers and we get the right information to the right people that may have to respond to an incident,” Moulton said.

Cammack said the Maine Fire Chiefs’ Association will meet Nov. 18 to address the issue of getting that information from railroad operators in the state.

MUST READ: Hauling crude oil may be causing train tracks to fail

Repost from the Los Angeles Times

Why are so many oil trains crashing? Track problems may be to blame

Ralph Vartabedian, October 7, 2015
Oil train derailment
Smoke and flames erupt from the scene of a train derailment March 5, 2015, near Galena, Ill. A BNSF Railway freight train loaded with crude oil derailed in a rural area where the Galena River meets the Mississippi. (Mike Burley / Associated Press)

The only sign of trouble aboard a Norfolk Southern train, hauling roughly 9,000 tons of Canadian crude in western Pennsylvania last year, was a moderate sway in the locomotive as it entered a bend on the Kiskiminetas River.

The first 66 cars had passed safely around the curve when the emergency brakes suddenly engaged, slamming the train to a stop. The conductor trudged back nearly a mile through newly fallen snow to see what happened.

Twenty-one cars had derailed, one slamming through the wall of a nearby factory. Four tank cars were punctured, sending 4,300 gallons of crude pouring out of the tangled wreckage.

Freight train derailment
Cars are seen from a freight train derailment on Feb. 13, 2014, in Vandergrift, Pa. (Darrell Sapp / Associated Press)

The cause of the accident in North Vandergrift was identified as a failure in the rails — not aging or poorly maintained tracks, but a relatively new section laid less than a year earlier.

The February 2014 crash fits into an alarming pattern across North America that helps explain the significant rise of derailments involving oil-hauling trains over the last three years, even as railroads are investing billions of dollars in improving the safety of their networks. A review of 31 crashes that have occurred on oil trains since 2013 puts track failure at the heart of the growing safety problem.

Track problems were blamed on 59% of the crashes, more than double the overall rate for freight train accidents, according to a Times analysis of accident reports. Investigators and rail safety experts are looking at how the weight and movements of oil trains may be causing higher than expected track failures.

The growing number of trains hauling crude oil from Canada and the Northern Plains are among the heaviest on the rails today, many extending more than 100 cars in length and weighing a cumulative 19,000 tons or more.

Not since the early days of John D. Rockefeller’s oil trust have railroads played such a central role in moving oil from wells to refineries. Oil shipments by rail have soared — an 18-fold increase between 2010 and 2014 — as domestic oil production has escalated faster than the construction of new pipelines to carry it to market.

Concerns about the safety of hauling crude began to rise after the horrific Lac-Megantic accident in Quebec in July 2013 that left 47 people dead and the city’s downtown in ruins.

The Federal Railroad Administration is preparing in coming weeks to issue a new set of initiatives to address the track problems, after previously clamping tighter restrictions on tank car designs and railroad operations. But solving the track problems could be a formidable challenge.

Oil train crashes since 2013
Infographic: Oil train crashes since 2013

Sarah Feinberg, chief of the Federal Railroad Administration, said the agency is working hard to improve safety, but preventing accidents that result from defective track involves finding a needle in every haystack along thousands of miles of track.

“We have been incredibly lucky that the accidents have happened mostly in rural areas,” she said. “Some of them have been very close calls.”

The crashes have occurred as the nation’s railroad system is being asked to do more than at any time in history, putting additional wear and tear on the tracks. Since 2001, railroads have seen a modest 12% increase in the number of cars they haul, but a 24% jump in the more comprehensive measurement of cargo that looks at the weight and train mileage the system has to bear, known as ton-miles, according to industry data.

Though railroads have significantly improved safety in general, the oil train accidents are a worrisome trend in the opposite direction and not fully understood.

Of the 31 crashes involving crude or ethanol since 2013, 17 were related to track problems and 12 a mix of other causes. The cause of the two other crashes remains unclear. The count is based on both final or preliminary government and railroad investigations that were collected by The Times under the Freedom of Information Act or in U.S., Canadian and railroad company filings.

About two-thirds of the accidents resulted in spills, fires or explosions, a record that has already prompted regulators to demand stronger tank cars and other safety measures.

Weight, oil sloshing and cold temperatures are among the issues that might be exacerbating the problem, according to rail safety experts.

Investigators at Safety Transportation Board Canada, which is investigating the eight accidents that have occurred in that country, are beginning to suspect that the oil trains are causing unusual track damage.

“Petroleum crude oil unit trains transporting heavily loaded tank cars will tend to impart higher than usual forces to the track infrastructure during their operation,” the safety board said in a report this year. “These higher forces expose any weaknesses that may be present in the track structure, making the track more susceptible to failure.”

Rick Inclima, safety director at the Brotherhood of Maintenance of Way Employees, also said that oil trains could be creating unique stresses on the track. “You can certainly get some rhythmic forces in … oil trains that you might not see on a mixed freight train with cars of different sizes, weights and commodities,” he said.

The nation’s major railroads are investing record amounts of money to upgrade their tracks and improve safety. The seven class-one railroads, which haul the majority of the nation’s freight, are spending $29 billion this year on their systems, nearly double the level of 2001, according to the American Assn. of Railroads. The trade group did not have any response to The Times analysis of oil train accidents, though it said its member companies exceed federal requirements for inspection and safety.

But that has not eliminated the problem. While all types of derailments dropped 17% over the last three years, there are still more than three every day across the nation, involving trains carrying a variety of freight, according to federal safety data. Bad track accounts for about 27% of overall accidents, less than half the rate that track problems are contributing to oil train accidents.

Though railroad technology may seem antiquated in a digital age, it relies on incredible precision to control monstrously heavy loads. The track in North Vandergrift, Pa., where the Norfolk Southern accident occurred, carries about 30 million tons of freight every year.

The relentless pounding plays havoc with any metallurgical flaw. Wooden ties deteriorate as they age. And other track components crack.

Investigators attributed the Pennsylvania derailment to a “wide gauge” failure, in which the rails were pushed too far apart to keep the wheels on the tracks.

The freight tracks in the U.S. and most of the world are supposed to be 56.5 inches apart, a width known as the gauge. Just three inches of movement can cause a derailment. And even if tracks conform to federal standards, they can separate under the force of a heavy train.

“Wide gauge” is the single largest cause of accidents involving track defects. In the case of the Pennsylvania derailment, it was broken spikes that caused the rail to widen, even though the track had been replaced in 2012, according to Federal Railroad Administration officials.

Private railroad experts have suggested that the sloshing of oil inside the cars may also be involved in the derailments.

Tank cars are only partially filled with oil, allowing for expansion if the temperature increases. The tanks have internal baffles, but the liquid can still slosh as the cars move, causing higher dynamic loads, said Bill Keppen, an independent rail safety expert. “Sloshing increases the stress on the track,” he said.

Federal safety experts said if sloshing does have an effect, they do not consider it significant.

The Times examination of accident reports also shows the large majority of derailments occurred in below freezing temperatures, ranging down to 23 below zero in a crash this year in Ontario.

As temperatures drop, steel rails progressively shrink, amplifying the potential for any existing defect to cause a failure, FRA safety experts said in interviews. Frozen ballast, the crushed rock that forms the rail bed, also causes rail to undergo greater shocks under the load of heavy trains.

Federal regulators and the industry are trying to improve safety, but opinions are sharply divided about exactly what measures are needed.

The Federal Railroad Administration, for example, has ordered that crude-carrying trains can travel at no more than 40 miles per hour in urban areas. But the North Vandergrift train was going only 36 mph. Nineteen of the trains whose speeds are known were moving 40 mph or slower, and no train was going faster than 50 mph, records show.

The railroad administration has increased its track inspections and railroads have agreed to increase their own inspections, according to Matthew Lehner, the agency’s communications director.

“In the coming weeks, the Federal Railroad Administration plans to announce additional steps to prevent crude oil train derailments,” Lehner said.

Critics say that many of the safety initiatives adopted so far reflect a policy aimed at mitigating the damage caused by derailments rather than preventing them.

“The attention has changed,” said Brigham McCown, former chief of the federal agency that sets tank car standards. “I hear people say, ‘It happens, they derail.’ I think that is an untenable position. As a safety regulator, I don’t think you can ever say, ‘Things blow up,’ or ‘Things crash.’ I believe the Department of Transportation has myopically focused on incident mitigation. Prevention should be the first question they should address.”

Bakken crude: Could pipelines replace the need for oil-by-rail?

Repost from Marcellus.com
[Editor: Significant quote by Rusty Braziel, analyst with RBN Energy: “By 2017 there should be enough pipelines to carry all North Dakota’s crude to market.”  See also “ND shipping only 47% of Bakken crude by train in June” – RS]

Bakken crude: Could pipelines replace the need for oil-by-rail?

By Zach Koppang, August 14, 2015
Image: Mary Schimke / Shale Plays Media
Image: Mary Schimke / Shale Plays Media

The transportation of Bakken crude is beginning to shift away from the railways and into pipelines as production levels off in the wake of last year’s price collapse and more oil and gas pipelines are brought online.

Rusty Braziel, analyst with RBN Energy, explained, “Since 2012 a combination of rail and pipeline has given Bakken producers ample crude takeaway capacity, but pipelines alone have not had sufficient capacity on their own.” Though, as production maintains a consistent rate, pipeline capacity is beginning to catch up. Braziel added, “By 2017 there should be enough pipelines to carry all North Dakota’s crude to market.”

Last week Continental Resources reported that it now ships over two-thirds of its Bakken crude by pipeline, reports Reuters. In the second quarter 2015, the company, North Dakota’s second-largest producer, pushed approximately 160,000 barrels of crude per day through Kinder Morgan owned pipelines. For comparison, it shipped nearly all of its oil by train in 2014. During a conference call, Continental CFO John Hart said, “Approximately 70 percent of our Bakken production is now delivered to market via pipeline.”

Director of RBN Energy Analytics Sandy Fielden said, “As soon as price differentials – especially between domestic benchmark West Texas Intermediate (WTI) and international benchmark Brent – narrowed, then barrels shifted back to pipelines to take advantage of their cheaper tariff rates. Yet significant crude volumes continued to be transported to market from North Dakota by rail because pipeline capacity could not handle the demand.” Recently, however, the planning and construction of new pipelines throughout the region has substantially increased overall shipping capacity, threatening the once booming business of BNSF Railway and others.

The trend is becoming more common as oil producing states, North Dakota included, begin to rely more heavily on pipelines rather than rail transport, which is vulnerable to weather, construction delays and bottlenecks. Transporting oil-by-rail has also become heavily scrutinized following a series of explosive, and sometimes deadly, oil train derailments. The most notable incident occurred in Lac-Megantic, Quebec, where a runaway oil train derailed and killed 47 people. The frequency and severity of derailments has led to increased scrutiny and regulation, much to the dismay of the rail industry.

As reported by Reuters, oil-by-rail shipments have decreased throughout the country by 13 percent in the past year, according to the latest American Association of Railroads data. Also indicative of the decreased interest in crude-by-rail shipments, and the far-reaching effects of the oil price decline, are the recent job cuts at one of the state’s largest rail transloading facilities.

However, Fielden explains, “Just because pipeline capacity is available doesn’t necessarily mean producers will prefer to use that capacity instead of rail.” Over 1 million barrels of oil per day continue to ride U.S. railways en route to refineries on the east and west coasts. Tesoro and BP, for example, opt to receive oil via rail due to the flexibility of the supply contracts when compared to pipeline shipments.

The RBN analysis reports that in theory, as new pipeline projects come online, all Bakken crude could be shipped to market via pipeline. Projects due to begin operating by the end of 2016 and throughout 2017 will expand takeaway capacity by 680,000 barrels per day. Fielden said, “The planning and buildout of a series of new pipelines out of North Dakota that (if they are all built) should increase capacity enough to provide space for all the barrels currently traveling to market from North Dakota by rail.”

Senator: Using bad tank cars? Then pay a fee

Repost from The Columbus Dispatch

Using bad tank cars? Then pay a fee, Brown proposes

By Rick Rouan, June 30, 2015 11:36 PM

Sen. Sherrod Brown wants shippers using tank cars that have been linked to fiery train derailments to pay fees that would be used to reroute train tracks, train first responders and clean up spills.

Brown has proposed fees that start at $175 per car for those using the DOT-11 [sic], a tank car that federal regulators have warned hazardous-material shippers against using.

The fees would pay to clean up hazardous-material spills, to move tracks that handle large volumes of hazardous material and to hire more railroad inspectors. Brown’s bill earmarks about $45 million over three years to train first responders near rail lines that carry large quantities of hazardous material.

Earlier this year, federal regulators tightened rules on newly manufactured tank cars but did not require shippers to immediately remove the old cars.

“(The rule) probably didn’t go far enough,” Brown said on Tuesday at the site of a 2012 derailment and explosion near the state fairgrounds. “If it’s a threat to public safety, they probably need to be off the rails.”

The federal rule will phase out or require retrofitting of thousands of the oldest tank cars that carry crude oil by 2018. Another wave of the oil-carrying tankers would have to change by 2020.

Some of the tank cars that aren’t carrying crude oil would not be replaced or retrofitted until 2025.

Brown’s proposal calls for a tax credit for companies that upgrade their tank cars to the new federal standard in the next three years.

Chet Thompson, president of the American Fuel & Petrochemical Manufacturers trade association, said his organization would oppose the fee structure Brown proposed.

“We think the federal focus should be on the rail carriers and their efforts to improve track integrity,” he said. “We want to see legislation that beefs up track integrity to keep the trains on the track.”

A spokesman for the American Association of Railroads declined to comment on Brown’s proposal. The organization is appealing the new federal standard, arguing that it doesn’t do enough to require shippers to stop using the DOT-111 tank cars and should require more heat protection on the cars, spokesman Ed Greenberg said.

The cars have been involved in several fiery derailments while carrying crude oil from the Bakken shale formation in North Dakota to East Coast refineries. In July 2013, a runaway train killed 47 people and destroyed the business district in Lac-Megantic, Quebec.

And in February, a train carrying volatile Bakken crude derailed in Mount Carbon, W.Va., after it likely traveled through Columbus. The train was run by CSX, which has three tracks that carry crude oil converging in Columbus before they head toward West Virginia.

On July 11, 2012, a Norfolk Southern train slipped the rails just north of Downtown. One of the cars punctured, spilling ethanol and causing an explosion and fire. Two people were injured and about 100 people were evacuated.

The National Transportation Safety Board said a broken track caused the derailment.

“Unfortunately, that was not an isolated incident,” Brown said.

A recent analysis for Franklin County Emergency Management and Homeland Security found that crude oil represents the largest share of hazardous material transported by rail through the region, Director Mike Pannell said.

Earlier this year, the state released reports showing that 45 million to 137 million gallons of Bakken crude travel through the state each week.

Local first responders have procedures in place to handle derailments but not specific plans for every piece of track, including lines that run through residential areas, said Karry Ellis, an assistant chief in the Columbus Fire Division.

Brown’s proposal calls for the U.S. Department of Transportation to study whether first responders are prepared for flammable-liquid spills and whether longer freight trains pose a greater risk.

Information from the Associated Press was included in this story.