Tag Archives: Rail industry lobby

Crude Oil Rail Shipments Sabotage Freedom of Information Act

Repost from Forbes

Crude Oil Rail Shipments Sabotage Freedom of Information Act

By James Conca, May 5, 2015 @ 4:40 AM

New regulations from the U.S. Department of Transportation declare that details about crude oil rail shipments are exempt from public disclosure (Tri-City Herald).

This ends DOT’s existing regulations that required railroads to share with state officials, and the public, information about shipping large volumes of dangerous crude oil by rail. These disclosure requirements were put in place last year after a Bakken crude oil train-wreck in Lynchburg, Virginia.

Now, railroads will only have to share this information with emergency responders who will be mum. And the information will be exempt from the Freedom of Information Act as well as public records and state disclosure laws (SSI).

Better response, slower speeds and safer rail cars are needed to stem the rise of crude oil rail car accidents. Transparency would be nice, too, although that took a real hit last week with the new regulations from the Department of Transportation. Source: National Transportation Safety Board

True, the new regulations do cover critical oil train operations in terms of “speed restrictions, braking systems, and routing, and adopts safety improvements in tank car design standards and a sampling and classification program for unrefined petroleum-based products.” All good things long needed to address the growing dangers in rail transport of crude.

But after the Lynchburg derailment and inferno, the feds required railroads to notify emergency response agencies if shipments over a million gallons crude oil were going through their states. Railroads complied, but asked states to keep that information confidential.

Most states refused (McClatchy).

Since then, the industry argued that details about the crude oil rail shipments were sensitive from a security and customer protection standpoint and should not be available to the public, although it’s more likely they just don’t want to get hassled by a public trying to restrict shipments from going through their towns, across their rivers and along their coasts.

At first, the Federal Railroad Administration disagreed with the industry (Federal Register), saying that information about the shipments was not sensitive from any standpoint.

But they seemed to have quietly caved to industry pressure.

The twin forces of the new North American energy boom and the lack of pipeline capacity have combined to suddenly and dramatically increase crude oil shipping by rail. The energy boom is not going away, and the XL pipeline is on hold indefinitely, so the increase in rail will continue.

Crude is a nasty material, very destructive when it spills into the environment, and very toxic when it contacts humans or animals. It’s not even useful for energy, or anything else, until it’s chemically processed, or refined, into suitable products like naphtha, gasoline, heating oil, kerosene, asphaltics, mineral spirits, natural gas liquids, and a host of other products.

Thus, the need to get it to the refineries that can handle it, mostly along the coasts. Without new pipelines, it’s going to go by rail.

But fiery derailments of crude oil trains in North America are becoming almost frequent, along with many simple spills (dot111). Every minute of every day, shipments of two million gallons of crude are traveling over a thousand miles in hundred-tank-car trains (PHMSA.gov), delivering as much oil as is expected by the Keystone XL Pipeline.

A clear example of this danger came on July 6, 2013, when a train carrying 72 tank cars, and over 2,000,000 gallons of Bakken oil shale crude from the Williston Basin of North Dakota, derailed in the small town of Lac-Megantic, Quebec. Much of the town was destroyed and forty-seven people were killed.

According to billionaire Warren Buffett, these new federal standards for shipping crude oil by rail will definitely slow-up the industry, and as CEO of Berkshire Hathaway’s BNSF railroad and its Union Tank Car business, he should know (Tri-City Herald).

Buffett says railroads are critical for transporting potentially dangerous products across the United States, and he thinks it makes more sense for railroads to haul them instead of trucks or pipelines, a controversial stand given the historical data (Pick Your Poison).

So what is the safest way to move crude oil?

The volume of oil spilled per billion-ton-miles for each mode of transport - truck worse than pipeline worse than rail worse than boat. But it depends upon your definition of worse. Source: Congressional Research Service R43390

The short answer is: truck worse than train worse than pipeline worse than boat (Oilprice.com). But that’s only for human death and property destruction. For the amount of oil spilled per billion-ton-miles, it’s truck worse than pipeline worse than rail worse than boat (Congressional Research Service). Even more different is for environmental impact, where it’s boat worse than pipeline worse than truck worse than rail.

But the accident frequency trend is against rail. Oil trains are getting bigger and towing more and more tanker cars. From 1975 to 2012, trains were short and spills were rare and small, with about half of those years having no spills above a few gallons (EarthJustice.org). Then came 2013, in which more crude oil was spilled in U.S. rail incidents than was spilled in the previous thirty-seven years.

The danger seems to be centered in the rail tank cars themselves (The Coming Oil Train Wreck). If these new regulations makes the rail cars safer, makes them go slower and routes them around environmentally sensitive or vulnerable areas, that’s wonderful.

But I don’t see why we aren’t allowed to know when the crude oil trains are near us.

ForestEthics: Oil Trains Too Fast, New Safety Rules Too Slow

Repost from ForestEthics (Also appearing in the Huffington Post)

Oil Trains Too Fast, New Safety Rules Too Slow

By Todd Paglia, Executive Director, May 1, 2015
New Oil Train Rules (Photo/NOAA)
New Oil Train Rules (Photo/NOAA)

In the first three months of 2015 four oil train accidents sent emergency responders scrambling, crude oil spilling into drinking water supplies, and fireballs blasting into the sky. The string of accidents in February and March demonstrate the severe threat from Bakken crude and Alberta tar sands moving on mile-long oil trains. These derailments and explosions set a bar we can use to measure the new oil train standards announced today by the US and Canadian governments.

Would the new rules have prevented any of the 2015 accidents and, ultimately, will they reduce the threat of oil train catastrophes like the 2013 Lac Megantic, Quebec, explosion that killed 47 people? The answer is no, and the reason is speed: the regulations move too slow and the trains continue to move too fast.

The rules announced at a joint press conference today by US and Canadian officials arrive decades late and with the sticky fingerprints of the oil and rail industry all over them. The administration has slowed down and narrowed the scope of the rules so the most dangerous tank cars stay on the rails for at least two and a half years. Other unsafe tank cars have five or seven years before they must meet new higher standards.

Not that the new standards will help much: All four 2015 accidents involved CPC-1232 cars, the newer tank cars that are supposedly safer than the dangerous DOT-111s. But to be clear, neither the upgraded cars or new cars built to the new standard will prevent an explosion if the train is moving at normal speeds.

So we can begin to look for new and upgraded cars (like the ones that exploded in recent months) in the years to come, but those living along the tracks can still expect to see the worst cars continue to roll by their homes for a very long time. The administration effectively allows rail companies to keep antiquated tank cars on the rails in trains with fewer than 35 crude oil tank cars (or 20 in a row.) That means oil trains hauling up to a million gallons of explosive crude oil in the most dangerous tank cars will keep rolling through a downtown near you FOREVER.

The administration trumpets new electronically controlled pneumatic brakes for oil trains. While it’s good news that oil and rail companies will use state-of-the-art technology, the administration is giving them until 2021 to install the new better brakes. That’s six years too long to require what should be a basic minimum safety requirement.

And while these upgrades to the tank car fleet creep slowly into place, the trains will continue flying down the tracks at reckless speeds. The new rule allows oil trains to travel at more than twice the rated “puncture velocity” of even the new tank cars that they will (in some cases) eventually require. That means that oil trains carrying three million gallons of explosive crude will continue to travel at 50 mph across North America, except in a small number of “high threat” urban areas where they must go 40. The new speed limits offer little comfort because three of the four of the explosive accidents in 2015 occurred at speeds below 35 mph. (The accident in Gogama, ON, occurred at 43 mph, just three mph over the “high-priority” speed limit.) The Galena, Illinois, derailment occurred at only 23 mph, proving that the speed limits in the rule are inadequate to protect anyone.

In the final insult to injury, the administration walked too quickly away from notification standards in an earlier draft of the rule, leaving citizens and emergency responders in the dark about where these trains are running and when.

The Obama Administration took its time developing new rules for hazardous materials on trains that run through the heart of America: they looked at the threat of exploding oil trains, but heavy industry lobbying made them flinch. The administration failed to learn the lessons of Lac Megantic or the four explosive oil train accidents we’ve seen so far in 2015 alone. They have given public safety the cold shoulder, instead embracing the oil and rail industry lobbyists peddling this dangerous cargo.

We were fortunate that none of the 2015 accidents caused fatalities. ForestEthics and our many partners will continue pushing the administration to do a lot better and hope that our luck holds while we stop these dangerous trains from crisscrossing North America.  But it shouldn’t be a matter of luck. Secretary Foxx and President Obama have chosen to roll the dice instead of writing strong rules that protect the 25 million of us living in the blast zone.


More by Todd Paglia:

Why more pipelines won’t solve the problem of oil-train explosions

Repost from Grist

Why more pipelines won’t solve the problem of oil-train explosions

By Ben Adler on 6 Apr 2015
Shutterstock | Shutterstock
In the last few years, the grassroots environmental movement has energetically opposed constructing big new oil pipelines in North America. Their opposition is understandable, since, on a global level, fossil fuel infrastructure encourages fossil fuel consumption, contributing to climate change, and, on a local level, oil pipelines leak and explode. But conservatives have been delighted to argue that greens are endangering the public and being short-sighted. Oil that comes out of the ground has to get to market somehow, and currently a huge amount of it is being shipped on freight trains. The result? An epidemic of oil train derailments, causing spills and even deadly explosions.

Is it fair to blame activists for this? Should climate hawks throw in the towel and accept Keystone XL as the lesser evil?

No and no — and I’ll explain two key reasons why.

First: Much of the oil criss-crossing the U.S. on trains is coming from North Dakota and traveling out along east/west routes where there aren’t even any proposals for big new pipelines. You can’t blame activists for that. Keystone would connect the Alberta tar sands to refineries on the Gulf Coast, but wouldn’t do anything to help move North Dakota’s fracked bounty. Right now rail is the main option for that. “Keystone XL would enable tar-sands expansion projects, but is unlikely to reduce crude-by-rail,” says Anthony Swift, an attorney at the Natural Resources Defense Council. But don’t just take his word for it. Oil-loving, Keystone-supporting North Dakota Sen. Heidi Heitkamp (D) makes the same point: “I am not someone who has ever said that the Keystone pipeline will take crude off the rails. It won’t,” Heitkamp said in November. “Our markets are east and west and it would be extraordinarily difficult to build pipelines east and west.”

Second: Climate activists are supporting something that actually would go a long way toward solving the problem of dangerous oil trains: strict regulation of those trains.

In the long term, of course, climate hawks want to keep the oil in the soil, and they are pushing for structural changes — like an end to federal leases for oil drilling offshore and on federal land — that would reduce the amount of oil we produce in the U.S. But in the short term, they’re not just being unrealistic and saying “no” to all oil transport — they’re pushing to make that transport safer.

The Department of Transportation has the authority to impose rules on oil trains’ design and speed, which would reduce the risk of them leaking and exploding when they derail or crash. DOT made an initial proposal in July of last year and is expected to finalize it in May. Green groups have been disappointed by the proposal, though — both the weakness of the rules and the slowness of the timetable. If all goes according to plan, the rules would be implemented later this year, but their requirements would still take years to phase in.

Fortunately there’s now a stronger proposal that climate hawks can get behind: a new Senate bill that would impose stiffer requirements than those being proposed by the Obama administration. Sen. Maria Cantwell (D-Wash.) introduced the Crude-By-Rail Safety Act late last month, along with three Democratic cosponsors: Tammy Baldwin (Wis.), Patty Murray (Wash.), and Dianne Feinstein (Calif.). It got immediate backing from big green groups.

Here are four critical things that need to be done to make oil trains safer, three of which are included in Cantwell’s bill:

  1. Stop the transport of oil in an old model of rail car, called the DOT-111, that was designed back in the ‘60s. DOT-111s “have a number of manufacturing defects that make them much more likely to rupture in a derailment,” says Swift. So environmentalists want to get 111s off the rails immediately. That’s exactly what Cantwell’s Senate bill would do. DOT, in contrast, proposes to delay that transition. “DOT only slowly phases out 111s by 2017 and the rest of fleet by 2020, and we think the industry is pushing to move the phaseout to 2025,” says Devorah Ancel, an attorney at the Sierra Club. “It’s very concerning.”
  2. Require steel jackets around vulnerable rail cars that carry oil. DOT would require freight companies to transition to a newer, sturdier model of car called the CPC-1232, but even those cars aren’t sturdy enough — they have already been involved some fiery accidents, including one in West Virginia in February and one in Illinois in March. Cantwell’s bill would go further, requiring CPC-1232s to be jacketed, and then calling for “new tank car design standards that include 9/16th inch shells, thermal protection, pressure relief valves and electronically-controlled pneumatic brakes.”
  3. Clamp down on the amount of flammable gases permitted in the oil on train cars. Oil fracked in North Dakota’s Bakken shale carries more volatile gases with it than your average crude, making explosions more common. DOT’s proposed rules do nothing to curb that. Cantwell et al would limit the volatility of the oil being transported and increase fines for violations.
  4. Reduce train speeds. Currently, the speed limit for crude-by-rail is 50 mph, and that’s voluntary. DOT would make a speed limit mandatory, but would only lower it to 40 mph, and even that may only apply in “high threat urban areas” with more than 100,000 people. “The question of speed limits is crucial,” says Swift. “You need to dramatically reduce the speed at which these trains are moving.” Swift notes that CPC-1232s may puncture when going above 18 mph, but environmental groups stop short of explicitly calling for that speed limit. NRDC says, “Crude oil unit trains must adhere to speed limits that significantly reduce the possibility of an explosion in the event of a derailment.” That would presumably fall somewhere between 18 mph and 40 mph. Stricter speed limits is the one major needed reform that the Senate bill doesn’t address.

Cantwell’s bill also doesn’t compensate communities when accidents happen (the DOT proposal doesn’t either). But the bill’s sponsors intend to introduce future legislation to establish an oil spill liability trust fund paid for by fees from the companies moving crude oil. “Taxpayers should not be on the hook to bail out communities after a disaster caused by private companies,” said Cantwell.

It’s hard to imagine this bill passing both houses of an intensely pro-business, pro–fossil fuel Republican Congress. But Senate Democrats hope that by raising the issue they can build public awareness and support for stronger rules.

The bill could put pressure on the Obama administration to adopt the strongest possible version of its proposal. During the public comment period on DOT’s draft rules, the oil and rail industries argued for the weakest rules under consideration. Now the plans are being reviewed by the White House Office of Management and Budget, which tends to scale rules back in order to reduce their cost to business. Representatives from the oil and rail industries have been meeting with OMB to lobby for weaker rules.

Late last month, Chuck Schumer (N.Y.), who will take over as Senate Democratic leader after Harry Reid (Nev.) retires next year, announced that he and six colleagues — including Baldwin and Democratic Whip Dick Durbin (Ill.) — had sent a letter to OMB Director Shaun Donovan asking him to ensure “the rule is strong and comprehensive and that it is finalized as quickly as possible.” If nothing else, Schumer’s push and Cantwell’s bill will set up a countervailing force to the industry voices that the Obama administration is listening to.

The administration should protect public safety without being pushed by fellow Democrats — in this case, it has the power to do so without congressional approval. There is definitely a clear alternative to the false choice between pipelines and dangerous oil trains.

Crude oil trains are unsafe, period. Stopping them will protect our communities and climate

Repost from Oil Change International
[Editor:  An important article by Lorne Stockman, Research Director
at Oil Change International in Washington, D.C.  Quote: “For the sake of a mere 4% of total petroleum passing through the United States, we say stop the trains now, protect North America’s communities and build an energy system that protects the climate and our citizens from a reckless oil industry.”  – RS]

Crude oil trains are unsafe, period. Stopping them will protect our communities and climate

By Lorne Stockman, March 26, 2015

rail-blog-featured v1The five major oil train derailments and explosions that occurred less than a month apart in the U.S. and Canada recently has refocused attention on the reckless practice of moving millions of gallons of crude oil at a time on a train through the continent’s communities.

The only sensible and safe position on crude-by-rail is clear. We need an immediate moratorium on crude-by-rail shipments in North America. This needs to stop now.

Based on the recent developments and disasters, we now know that nothing short of a moratorium on moving crude by rail in North America is required, until the safety of our communities and climate can be fully guaranteed.

The evidence that the practice is unsafe is undeniable. It’s hard to imagine a more terrifying proposition than one of these trains derailing and exploding in your community.  It is not a disaster waiting to happen, it has already happened over and over again.  That the regulator has still not acted is inexcusable.

Before we go into the details of what it would take to make it safe and why that will not happen without essentially banning the practice, let’s quickly examine what is at stake in terms of U.S. crude oil supply. This is important because it seems that the main reason the Obama Administration has failed to act is because it somehow considers the supply of crude oil enabled by crude-by-rail to be too important to effectively regulate.

This is unacceptable in and of itself, but when you see what’s really at stake regarding our community safety and climate crisis, the assumption appears to be beyond comprehension.

According to our estimates based on Association of American Railroads (AAR) data, about 850,000 barrels per day (bpd) of U.S. crude oil was loaded onto trains in the last quarter of 2014.  In addition, the Canadian National Energy Board reported that around 175,000 bpd of Canadian crude oil was exported by rail to the U.S. in the same period. For simplicity’s sake let’s call it one million bpd.

Meanwhile, the petroleum products consumed in the U.S. in the last quarter of 2014 averaged just less than 19.5 million bpd.  But 24 million bpd passed through the system as the U.S. exported an average of around 4.5 million bpd, including both crude oil and refined products.

In fact, while some pretty wild claims have been made about the current oil boom leading to “energy independence”, the U.S. still imported over 9 million bpd of crude oil and products in the same period.

So given the enormous amount of total petroleum passing through the U.S. system, what would be the impact of banning crude-by-rail immediately until we can work out whether it’s worth risking another disaster? The answer is not very much.

Crude-by-rail accounts for 4.1% of the total petroleum moving through the system (consumption plus exports) or 5.1% of total U.S. petroleum consumption.

What about U.S. oil production? That stood at 9.1 million bpd in Q4-14. The 850,000 bpd that went by rail is just 9.3% of that.

So over 90% of U.S. production traveled by means other than rail and there is in fact spare pipeline capacity in North Dakota and elsewhere. (See here for North Dakota government list of pipelines, refineries and rail facilities)

CBR---Total-Petroleum-Q4-14-Chart
Source: Oil Change International, U.S. Energy Information Administration, Association of American Railroads, Canada National Energy Board. … NOTE: Difference between Production plus Imports vs. Consumption is Refinery Gains and Natural Gas Liquids entering the refinery system.

Any way you cut it, crude-by-rail carries a very small percentage of the oil in our country, yet continues to pose an outsized risk to communities around the country. The build out of terminal capacity suggests that the practice could grow especially if the U.S. crude oil export ban is lifted. This would trigger a rush to move crude to the east and west coasts for export, threatening the communities along the way with much more frequent crude train traffic.

OCI_Box-CrudeTrains-Unsafe
CLICK TO ENLARGE

Are we really unable to ensure public safety because we’re worried that we may impact the transportation of 9% of U.S. oil production or 5% of our oil consumption?  Is government’s role really to weigh the probability of a major death toll against a fraction of energy supply or is it to protect the public? Aren’t our communities and our climate worth more than 1/20th of U.S. oil consumption?

Without crude-by-rail, the industry will have to produce only slightly less than it currently does, which is much more than it produced only a few years ago.  Is that really worth bomb trains endangering 25 million American every year?

The current effort to make crude-by-rail safer through increased regulations is in fact sadly misguided and inadequate. That crude-by-rail is inherently unsafe is painfully obvious.

That it cannot be addressed through looking at any single variable, such as tank car standards or the volatility of a particular crude oil grade, was made clear by a Department of Energy report released earlier this week.

That report aimed to look at whether Bakken crude oil is more volatile than other crude oil. It concluded that there was insufficient information about the crude oil in the Bakken to assess that at this stage. But in the press release the DOE made an important statement regarding the focus on any one particular cause of the terrifying crude-by-rail explosions that have so far occurred.

“The report confirms that while crude composition matters, no single chemical or physical variable — be it flash point, boiling point, ignition temperature, vapor pressure or the circumstances of an accident — has been proven to act as the sole variable to define the probability or severity of a combustion event. All variables matter.”

This goes to the heart of why crude-by-rail cannot be made safe.

It’s not Bakken crude, it’s all crude oil. It’s not the vapor pressure or boiling point of the crude; it’s the incredible weight of a 120-car train carrying 3.5 million gallons of crude oil and the pressure that exerts on rails making derailments more likely. It is the enormous kinetic energy that such a train exerts on tank cars during a derailment. It is the speed the trains travel and the inability of any tank car, including the more robust designs proposed in the draft rulemaking, to withstand the impact of a unit train full of oil derailing at anything near the slowest speeds that would maintain a viable rail freight system. (The tank car design proposed in the draft PHMSA rule has been shown to puncture at speeds of between 12 and 18 mph, while speed limits for crude oil trains are currently set at 40 mph. See pages 119-120 here.)

So there is a combination of things that could be done to prevent derailments and/or the occurrence of explosions and fire in a derailment; e.g. stronger tank cars, shorter trains, slower speeds, less gaseous crude among other things. But the rail and oil industries are fighting the tightest standards for any of these variables and so far it seems the Administration has not shown itself capable of fighting back.

Nearly two years has passed since 47 people were killed in Lac-Mégantic, Quebec by a crude oil train carrying Bakken oil. Since then at least ten fiery derailments have occurred among countless other less dramatic spills and incidents. The regulator has so far failed to propose an adequate suite of measures that would fully protect the public.

That the rail and oil industries are fighting any requirements that will increase their costs is standard practice; it will cost them money and the sociopathic nature of corporate behavior puts profits before the interests of society. But while the oil industry opposes stabilizing gassy crude oil, stronger tank cars and fast phase-outs for the existing stock of dangerous cars, the rail industry opposes better braking systems and stricter speed limits.

Together they make a strong team of opposition to the range of safety measures that might be effective. A safety regulator under fire from the combined power of two of the most notorious and well-resourced lobby machines in the history of the United States is unlikely to come up with a solution that prioritizes the public’s interest.

Beyond the urgent issue of the safety of hundreds of North American communities that live within a mile of the train tracks, some 25 million people in the U.S. alone, we urgently need to transition to a clean energy economy as fast as possible. The All of the Above energy policy that has brought us reckless crude-by-rail has been focused on pulling oil out of the ground as quickly as possible no matter the consequences, rather than transitioning us away from oil. That needs to change beginning with ending this dangerous practice.

For the sake of a mere 4% of total petroleum passing through the United States, we say stop the trains now, protect North America’s communities and build an energy system that protects the climate and our citizens from a reckless oil industry.

Go here for more on crude-by-rail