All posts by Roger Straw

Editor, owner, publisher of The Benicia Independent

Obama admin to give companies more time to upgrade DOT-111 & C-1232 tank cars

Repost from Bloomberg Business News

Revised Oil-Train Safety Rule Said to Delay Upgrade Deadline

by Jim Snyder, February 12, 2015

(Bloomberg) — The Obama administration revised its proposal to prevent oil trains from catching fire in derailments, giving companies more time to upgrade their fleets but sticking with a requirement that new tank cars have thicker walls and better brakes.

The changes, described by three people familiar with the proposal who asked not to be identified because the plan has not been made public, are in proposed regulations the U.S. Transportation Department sent to the White House last week for review prior to being released.

The administration is revising safety standards after a series of oil-train accidents, including a 2013 disaster in Canada that killed 47 people when a runaway train derailed and blew up. Earlier this month a train carrying ethanol derailed and caught fire outside of Dubuque, Iowa. No one was hurt.

Companies that own tank cars opposed the aggressive schedule for modifying cars in the DOT’s July draft, saying it would have cost billions of dollars and could slow oil production. That plan gave companies two years to retrofit cars hauling the most volatile crude oil, including from North Dakota’s booming Bakken field.

Railroads and oil companies fought the brake requirement and proposed a standard for the steel walls that was thinner than suggested by the agency.

‘Too Long’
Karen Darch, the mayor of the Chicago suburb of Barrington, Illinois, and an advocate for safer cars, said she was encouraged that the rules included stronger tank cars and upgraded brakes. She disagreed with adding years to the retrofit deadline.

“Taking more time on something that’s already taken too long is problematic,” Darch said Thursday in a phone interview.

Officials in the President Barack Obama’s Office of Management and Budget could change the proposal before the final version is released, probably in May. Darius Kirkwood, a spokesman at the Pipeline and Hazardous Materials Safety Administration, the Transportation Department unit that wrote the rule, said he couldn’t comment on a proposed rule.

“The department has and will continue to put a premium on getting this critical rule done as quickly as possible, but we’ve always committed ourselves to getting it done right,” Transportation Secretary Anthony Foxx said this month in a statement about the timing of the safety rule.

Rolling Deadlines
The current proposal would require companies to first upgrade tank cars known as DOT-111s, which safety investigators have said are prone to puncture in rail accidents, according to one of the people. Cars with an extra jacket of protection would remain in use longer before undergoing modifications, according to one of the people.

A newer model known as the CPC-1232, which the industry in 2011 voluntarily agreed to build in response to safety concerns, would have a later deadline than the DOT-111s for modification or replacement, three people said.

The CPC-1232s have more protection at the ends of the cars and than the DOT-111s and a reinforced top fitting.

The draft rule also would require that new tank cars be built with steel shells that are 9/16th of an inch thick, the people said. The walls of the current cars, both DOT-111s and CPC-1232s, are 7/16th of an inch thick.

A joint proposal from the American Petroleum Institute and the Association of American Railroads argued to set the tank-car shell thickness at half an inch, or 8/16ths.

Company Lobbying
Railroads and oil companies also lobbied against a proposal that the trains have electronically controlled pneumatic brakes, which are designed to stop all rolling cars at a same time.

The Association of American Railroads in June told Transportation Department officials that the electronic brakes would cost as much as $15,000 for each car and have only a minimal safety impact.

Trains often haul 100 or more tank cars filled with crude. These trains have increasingly been used to haul crude as oil production has boomed in places, like North Dakota, that don’t have enough pipelines.

Rail shipments of oil surged to 408,000 car loads last year from 11,000 in 2009.

Solano County lobbyists to advocate for crude-by-rail health and safety

By Roger Straw, February 12, 2015

Solano County seal (400x400)A little known but influential Council here in Solano County is the Solano County City County Coordinating Council (CCCC, or 4C’s).

Benicia Mayor Elizabeth Patterson’s recent E-Alert gives a rare look at the proceedings of a recent CCCC meeting, including adoption of a legislative platform for Solano County that calls for our State and Federal lobbyists to support efforts to improve safety of hazardous materials transported by rail.

Mayor Patterson offered the following insider perspective on the adoption of the 2016 legislative platform at the CCCC’s February 12, 2015 meeting:

Highlights of the discussion was the transportation safety issue that Benicia added: “Support efforts to improve safety of hazardous materials transported by rail, including crude by rail and enhance capacity of local emergency responders to appropriately respond to potential emergency events resulting from derailment or releases.”

…there was spirited discussion and accusations of “agenda driven” thinking and the language not necessary and other detracting remarks.  Because the 4Cs was established with a consensus protocol, a simple majority of the quorum was not enough to carry this suggestion forward.  After more discussion and the lead objector, Supervisor Spering, saw that that half the Mayors and three Supervisors did want the above language, he offered language that seemed to capture the essence of the suggestion.  In the end we gave direction to staff to finalize the language to be reviewed by Supervisor Spering and the City of Benicia.

Kudos to Mayor Patterson and Benicia city staff, and many thanks to the other County Supervisors and Mayors who backed this legislative priority.  Let’s hope that the compromise language still has some teeth!

It will be wonderful to be know that our County’s tax-supported State and Federal lobbyists are representing us to improve health and safety legislative measures with regard to crude by rail.

Pacific Northwest editorial: Tar sand expenses must stick on those who profit

Repost from The Daily Astorian, Columbia Pacific Region

Editorial: Tar sand expenses must stick on those who profit

Up to 10 mile-long tar sands trains per month are now moving between Canada and destinations on Puget Sound, Portland and California.

February 12, 2015, The Daily Astorian

Compared to ordinary unrefined petroleum, crude oil originating in the vast tar sand deposits of Alberta, Canada and nearby areas of the U.S. is distinctly more challenging to clean up if it spills.

There is surprising news this week that a great deal of it is moving along the Columbia River and elsewhere in Washington and Oregon — without any spill-response plan in place among state environmental agencies.

Oregon Public Broadcasting reporter Tony Schick did a good job illuminating tar sands issues in a story Monday. Due to a gap in the law that required communications between shippers and agencies for U.S. tar sands but not the same material from Canada, regional train traffic has rapidly expanded just since late November 2014. Up to 10 mile-long tar sands trains per month are now moving between Canada and destinations on Puget Sound, Wash., Portland and California.

There are “good news” components in this. Petroleum processed from tar sands is a large part of why gasoline prices have gone down, as North America again becomes a net exporter of energy. This surge in domestic production, transportation and shipping of crude oil generates profits, jobs and taxes.

But it is nevertheless surprising to learn that vast quantities of a distinctly hazardous substance are being transported around the Pacific Northwest without anything like an appropriate level of preparation for spills — disasters that are virtually inevitable.

Plain old crude oil and petroleum are bad enough from the perspective of spills. In the latest of in a series of excellent stories, Sightline Daily notes that U.S. Coast Guard Sector Columbia River already responds to about 275 oil pollution incidents a year. But pending plans for additional fossil fuel shipments could triple the number of tankers crossing the Columbia bar and double major vessel traffic on the river as a whole.

A good deal of this traffic would involve tar sands crude, which OPB describes as much worse to clean up. Canadian tar sands produce bitumen, a heavy tar-like material that is sticky and heavier than water. Because it sinks and adheres to everything it touches, cleanups are time consuming and expensive — more than $1 billion in the case of a burst bitumen pipeline in Michigan.

All this has caught U.S. Sen. Ron Wyden’s attention. “It is unacceptable that volatile tar sands oil has been moving through our communities for months, and yet Oregon officials only found out about it last week,” he told OPB. He is working on a strong rule that would ensure that local and state emergency responders are kept in the loop about tar sands shipments.

Beyond this, it is vital that the expense of insuring against spills and making things right afterward are fully absorbed by those profiting from tar sands exploitation. Northwest citizens must be guaranteed that we won’t get stuck holding an empty bag when a tanker wrecks on the bar or an oil train derails in some formerly pristine location.

The oil industry is rife with examples of leaving messes behind for others to deal with. This time, things absolutely must be different. Those who profit must shoulder all the financial risk.

Washington, Oregon officials caught by surprise: unit trains of tar sands moving through NW and CA

Repost from Oregon Public Broadcasting
[Editor: Significant quote for us in California: “The trains originate in Alberta, moving through Idaho to Washington. From there, some are bound for refining in Western Washington and others travel along the Columbia River into Portland and south into California.”  – RS]

Big Trainloads Of Tar Sands Crude Now Rolling Through NW

By Tony Schick, Feb. 9, 2015
Since 2012 Union Pacific has been moving oil through Oregon on mixed freight trains. In late 2014, the railroad began moving several mile-long trains of crude oil per month through the Northwest.
Since 2012 Union Pacific has been moving oil through Oregon on mixed freight trains. In late 2014, the railroad began moving several mile-long trains of crude oil per month through the Northwest. Kool Cats Photography / flickr

Trains carrying mass loads of heavy crude oil from Canada’s tar sands have begun moving through the Northwest, creating the potential for an oil spill in parts of Oregon and Washington where environmental agencies have no response plans or equipment in place.

Union Pacific now moves between seven and 10 of these mile-long trains of Canadian crude per month through Northwest states, according to railroad spokesman Aaron Hunt. They can carry more than a million gallons of oil.

The trains originate in Alberta, moving through Idaho to Washington. From there, some are bound for refining in Western Washington and others travel along the Columbia River into Portland and south into California.

The seven to 10 monthly trains represents a big  increase over Union Pacific trains that had  previously been hauling mixed freight that included oil tank cars. The mile-long “unit trains” began in late November, according to the railroad, but spill planners at Oregon’s Department of Environmental Quality and Washington’s Department of Ecology didn’t learn of the new shipments until late January and early February, respectively.

Both agencies, along with emergency responders and rail safety inspectors, were previously caught unprepared in 2013 when shipments of sweet light crude from North Dakota’s Bakken oil fields started moving through the region.

Railroads are required to notify states about oil shipments larger than one million gallons under an emergency order from the federal Department of Transportation. The order was filed in response to national concerns about local fire departments being caught unaware or kept in the dark when these “rolling pipelines” were passing through their jurisdictions.

That order applies only to Bakken crude; shipments from Canada are exempt. Oregon Sens. Ron Wyden and Jeff Merkley have called on the federal DOT to expand its regulation to include all shipments, with the aim of avoiding a situation like mile-long trains of tar sands crude moving without knowledge from the agencies tasked with oil spill cleanup.

“It is unacceptable that volatile tar sands oil has been moving through our communities for months and yet Oregon officials only found out about it last week,” Wyden said in a statement released to OPB/EarthFix. “This apparent lack of communication with state officials responsible for Oregonians’ health and safety is exactly why I have been pushing for an iron-clad rule to ensure first-responders in our communities are notified about these oil trains.”

Officials in Oregon and Washington said they lack the resources and authority for adequate spill planning along rail corridors. Rail lines touch more than a hundred watersheds in Oregon and cross more than a thousand water bodies in Washington.

Unlike plans for marine transports and storage facilities, plans for who responds, how and with what equipment are lacking in Oregon and Washington when it comes to rivers and lakes.

“We will respond, but our response won’t be as effective as it would be with the facilities where we’ve reviewed their plans, we know what they contain,” said Bruce Gilles, emergency response program manager at Oregon’s DEQ.

Should a train full of tar sand oil spill today, response teams will be “going in somewhat blind,” and that means they won’t be able to work as quickly as they should, Gilles said.

“You’re going to lose time, and that time translates into increased environmental damage and costs to clean up,” he said. “That’s the bottom line.”

David Byers, response manager for Washington’s Department of Ecology, said the state has begun filling the regional gaps where it lacks response plans, but the effort will take years.

Byers said tar sands crude presents many cleanup challenges the state’s never handled before.

Bitumen is a hydrocarbon extracted from Alberta’s tar sands. It’s too thick to be transported like conventional crude. It’s either refined into a synthetic crude — making it more like conventional crude oil —  or combined with additives that give it a more liquid consistency.

A heavy tar-like substance, bitumen can sink when it hits water. It’s also stickier, meaning it’s tougher to remove from wherever it spills. That’s what happened when a pipeline burst and spilled into the Kalamazoo River in Michigan. The cleanup cost exceeded $1 billion.

Frequent rain and fast-moving rivers in the Northwest mean a lot of sediment that oil can stick to, further complicating cleanup.

Byers and Gilles say they have no way of knowing what specific type of crude is in a given oil tanker car. Knowing that they’re dealing with a tar sand crude oil spill would dramatically influence their response.

“It’s much harder to clean up on the bottom of a river bed,” Byers said. “Or if it sinks in, for example, Puget Sound, it’s going to be more difficult to clean up, and even more challenging for us to even locate and detect where the oil has migrated to.”

It wouldn’t just be up to Oregon or Washington officials to handle spill-response duties if an oil train derailed in their state. Union Pacific has 30 hazardous materials responders across its 32,000 mile network and relies on private contractors for handling spill incidents.

“This team of experts directs training, preparation and response for any type of accident involving hazardous materials,” spokesman Aaron Hunt said in an email. “We move hazardous materials on behalf of our customers because it is our job.”