Tar-sands Tailings Ponds: Alberta Regulations Falling Short

Repost from NRDC – Jennifer Skene’s Blog
[Editor:  Don’t miss the excellent video below.  Also of note… the video refers to a powerful report on tar-sands mining by Ted Genoways in the December 2014 issue of Outside Magazine, “The High Cost of Oil.”  – RS]

Alberta’s Greatly Anticipated Tar Sands Tailings Ponds Framework Falls Short

Jennifer SkeneBy Jennifer Skene, March 13, 2015

A new Tailings Management Framework released by the Government Alberta unfortunately enables industry to sidestep taking meaningful action on one of the most pressing environmental issues of tar sands development. For years, Alberta’s political leaders have promised to finally address the harmful legacy of the toxic tar sands tailings problem. But this latest framework is not likely to compel industry action to clean up the tailings in a meaningful way, especially given its lack of meaningful enforcement mechanisms. This, in fact, makes the new framework a step in the wrong direction since the previous regulation, Directive 074, had concrete means of enforcement. Furthermore, Alberta’s history of unfulfilled promises to protect Canadian citizens and wildlife from the devastating effects of tailings ponds casts doubt on the framework’s true efficacy. This framework, without evidence of successful, speedy reclamation efforts, should not serve as a shroud obscuring the Canadian government’s inaction on tar sands and tailings ponds. It is further demonstration to U.S. officials that Alberta isn’t ready for serious action. The failure of the Alberta government to finally release a comprehensive, framework that stops the growth of tailings adds to the urgency to calls for a halt to an expansion of the tar sands industry.

The Problem of Tailings Ponds

Tailings ponds are a blight upon Alberta’s landscape that endanger both wildlife and Canadians. These ponds, which consist of the bitumen, napthenic acids, heavy metals, and other toxic substances left over from tar sands mining, kill and deform wildlife and poison downstream communities. There are currently 976 billion liters of tailings in the mineable region in Alberta–the equivalent of 390,000 Olympic-sized swimming pools–and this number is steadily growing. The dangers of the tailings ponds have been well illustrated. In addition to the recent tailings pond spills in Alberta and British Columbia, there is significant evidence that the ponds are leaking into groundwater, which could be placing wildlife and communities at risk (see video below).

This new tailings framework released by the provincial government is the latest effort to address the unrelenting growth of these tailings ponds and to hold tar sands companies accountable for taking steps to reclaim tailings. However, Alberta’s history and the framework itself provide plenty of reason to doubt that it will be effective.

Alberta’s History of Unfulfilled Promises

Canadian leaders have been heralding the creation of an effective tailings policy for years, but tailings volumes continue to grow. While Alberta has touted its environmental leadership, it has largely failed to protect its environment and citizens from the effects of tar sands tailings ponds. In 2010 Premier Ed Stelmach called for the elimination of tailings ponds, stating that the province would have to “get more aggressive” with mining companies to ensure that they reclaimed their waste. In April 2013, even as Alberta was failing to enforce existing tailings laws, Premier Allison Redford promised, “tailings ponds [will] disappear from Alberta’s landscape in the very near future.” This new framework’s timeline would not eliminate tailings in the “very near future,” nor would it constitute “get[ting] more aggressive” with the tar sands industry. In fact, if anything, it is a capitulation to the industry after they failed to carry out their obligations under Directive 074.

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Tailings emptying into a pond in Alberta Photo by Rocky Kistner, NRDC

The previous tailings framework, Directive 074, was a failure, largely because it was not enforced. Directive 074, passed in 2009 by Alberta’s now-defunct Energy Resources Conservation Board (ERCB), required tar sands companies to reclaim a certain amount of tailings every year, beginning in 2010. By July 2012, companies were obligated to reduce 50% of its tailings every year thereafter, and tailings ponds had to be ready for reclamation within five years of the mine’s closure. The tar sands companies universally failed to meet the Directive’s requirements, and in 2013 the executive manager of the ERCB declared that Directive 074 was “overly optimistic” and that the ERCB would not take any actions to enforce it.

What’s In the New Framework

The new tailings framework – generally weaker than the previous Directive 74 – should not be construed as a solution to address the growing problem of tailings nor its enormous legacy on the northern Alberta landscape. Under the new framework, the Tailings Management Framework for the Mineable Athabasca Oil Sands:

  1. Companies are still able to generate large volumes of toxic tailings over the lifetime of a mine.
  2. Companies are given a lengthy window of time while they ramp up mining operations before they are required to start limiting tailings production.
  3. Because the Government of Alberta has not clarified what is means to “clean up” tailings, there may be a loophole for companies to dump the legacy tailings into end pit lakes.
  4. Companies have a significant amount of time to fully clean up tailings even after a mine closes.
  5. There are no provisions in the framework for enforcement.

The framework sets up tailings reclamation as a trapezoid (see figure below). Tar sands companies will be allowed to accumulate tailings to the extent that they would be able to be within range of an “End of Mine Life Target.” This target will vary based on the project. Companies are given a discretionary 3-10-year period during which they can accumulate tailings. After that time, they will be expected to maintain a constant tailings volume until the end of the mine’s life. Within ten years after the mine’s closure, the company will have to reclaim the entirety of the tailings.

tailings framework graph.jpg

One of the most immediate issues with the new framework is the discretionary period companies are given to accumulate tailings prior to having to engage in any reclamation efforts. It is unclear why the companies are being provided with this window, which will only lead to further accumulation. Furthermore, while the framework would reduce the total quantity of tailings on the landscape, the company is allowed to keep its tailings volume constant until the end of the mine’s life. Many mines last up to 50 years, meaning that full reclamation efforts, other than maintenance of a set amount of tailings, may not even begin for several decades and may not be completed until years after the mine closes. If the company goes out of business in that time, there may be no recourse to clean up the remaining tailings. Reclamation would also be further delayed because the framework provides projects with a ten-year window following the end of the mine’s life until the entirety of the tailings needs to be reclaimed.

Additionally, the framework allows companies a certain percentage deviation from their fixed accumulated tailings volume, referred to as a “Profile Deviation Trigger,” but this number is not specified. It will be up to the Alberta Energy Regulator (AER) to decide upon this percentage, along with each project’s tailings limits and end of life mine targets. However, the AER’s decisionmaking process is unclear, and it is uncertain whether stakeholders would be allowed to voice their concerns before the AER, leaving the basis for these quantities unknown.

Perhaps most significantly, given Alberta’s history with Directive 074, there is little provision in the framework for enforcement. If tar sands companies fail to abide by these more relaxed regulations, it is uncertain how they would be held accountable. The framework states that there will be a “compliance levy” if they deviate from their maximum permitted tailings, but the exact penalty and how it would be carried out, and whether it would be high enough to incentivize reclamation, are uncertain. Additionally, there is no mention of penalties related to tailings pond leakages into groundwater, leaving this crucial issue unregulated.

The framework also leaves vague what constitutes reclamation, stating only that “the land must be reclaimed to a resilient and functional boreal forest ecosystem.” This means the public is not given any guarantee as to whether toxic tailings will ever be cleaned up. The more established definition of reclamation is that it means returning the land to the thriving, vegetated region it was prior to the mine’s construction. Alberta regulators, however, have recently approved the use of end pit lakes as a mechanism for “reclamation.” These end pit lakes store tailings waste at the bottom, which is then capped or covered by fresh water. End pit lakes are largely terra incognita or, rather, lacus incognita.Their safety and effectiveness are unproven; it is uncertain how long, if ever, it will take for the freshwater layer to be free of toxins, or whether the tailings will seep into the surrounding land and water. Thus, even if the framework were effective and enforced, it may still be possible for companies to avoid more proven methods of reclamation.

Implications for the Future of Tailings

While Alberta regulators could certainly point to how the current framework improves upon Directive 074 in that it regulates both past and future tailings, the larger issues identified above loom large. Alberta’s historic lack of enforcement and the ambiguities in the law will give the tar sands industry an easy means of sidestepping any meaningful action on this major issue in the foreseeable future, making it difficult to imagine any scenario in which this framework achieves any substantial regulation of tailings ponds.

City of Benicia provides answers on recirculation process

By Roger Straw, March 27, 2015

On March 12, 2015, Marilyn Bardet represented Benicians For a Safe and Healthy Community (BSHC) at the Benicia Planning Commission meeting, reading a lengthy list of questions concerning the City’s process as it determined to recirculate Valero’s Crude By Rail proposal.

Today, the City of Benicia sent the following announcement by email, responding to the BSHC letter:

On March 12, 2015, Benicians For a Safe and Healthy Community provided a letter to the Planning Commission (c/o Benicia City Hall) on behalf of the public with questions regarding the City’s process for the Valero Crude by Rail Project EIR. This letter and staff’s response has been uploaded onto the City’s Valero Crude by Rail Project webpage under “Miscellaneous Information” located at the bottom of the page.

The PDF letter and response by Principal Planner Amy Million can be viewed here.  (Note that I have requested the City provide a version of the document in searchable text.)

An analysis of the City’s response will be forthcoming.

‘Get them off rails now,’ Four US Senators say of some oil tank cars

Repost from McClatchy News
[Editor:  Thank you to co-sponsors of Sen. Cantwell’s bill: Senators Patty Murray of Washington, Tammy Baldwin of Wisconsin and Dianne Feinstein of California, all Democrats.  See also: the Cantwell press release (including a video), and the text of the legislation.  – RS]

‘Get them off rails now,’ Sen. Cantwell says of some oil tank cars

By Curtis Tate, March 25, 2015
US NEWS RAILSAFETY 3 MCT
A DOT-111A tank car rolls past the Amtrak platform at Newark, Del., on July 28, 2013. CURTIS TATE — MCT

WASHINGTON — Sen. Maria Cantwell, D-Wash., introduced legislation on Wednesday that would immediately ban the least sturdy tank cars from carrying crude oil after a series of recent fiery train derailments.

The bill also would require the U.S. Department of Transportation to regulate the volatility of crude oil transported by rail, particularly oil extracted from shale formations in North Dakota’s Bakken region.

Cantwell’s bill follows four recent derailments in West Virginia, Illinois and Ontario that have drawn new scrutiny to the large volumes of oil moving by rail across North America.

The White House Office of Management and Budget is reviewing new regulations intended to address the safety concerns, but Cantwell told reporters Wednesday that the changes couldn’t wait.

“We know that we need to move on this legislation now,” she said. “Derailments keep happening, and we need to take responsibility to ensure that our communities are safer.”

Sens. Patty Murray of Washington, Tammy Baldwin of Wisconsin and Dianne Feinstein of California, all Democrats, are co-sponsoring Cantwell’s bill.

In addition to addressing tank cars and volatility, the legislation also would increase penalties for rail and energy companies that don’t meet federal safety requirements.

The bill would authorize funding to train emergency responders and require railroads to provide more information about oil shipments to state and local emergency officials. It also would require railroads to have comprehensive oil spill response plans.

The measure aims to remove from crude oil service the kinds of tank cars that have proved vulnerable to punctures and fire exposure in a series of derailments over the past two years.

Those include the older DOT-111 cars involved in a July 2013 derailment in Quebec that killed 47 people, as well as newer, industry-designed CPC-1232 cars involved in the most recent four derailments.

All lack thermal insulation and outer jackets to better protect the cars in derailments, and Cantwell’s bill would require tank cars carrying oil have those features.

“There are a bunch of tank cars that are unacceptable now,” she said. “So we’re saying get them off the rails, now.”

Cantwell noted that the rail industry asked the Transportation Department for an improved tank car design four years ago and that her bill would help give the industry some certainty.

“I’m willing to tell them right now: Here’s the standard that I think should be set,” she said.

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

 

For safe and healthy communities…