Communities for a Better Environment sues Contra Costa County and Phillips 66

Repost from The Contra Costa Times

Rodeo refinery project subject of legal challenge

By Tom Lochner, 03/04/2015 11:37:08 AM PST

MARTINEZ — An environmental group has sued Contra Costa County over its approval of a propane and butane recovery project at a Rodeo refinery, contending it is a piece of a grander plan to process heavy, dirty tar sands crude that would come to California by rail.

Phillips 66, which owns the Rodeo refinery and another refinery near Santa Maria, in San Luis Obispo County, is a co-defendant in the suit, filed Wednesday in Contra Costa Superior Court in Martinez by Communities for a Better Environment. The two refineries together constitute the two-part San Francisco Refinery, according to the Phillips 66 website.

“Phillips 66 cannot meet its propane recovery objective without switching to a lower quality feedstock, like tar sands, and without other Phillips 66 projects to assist in that overall switch,” CBE attorney Roger Lin said in a news release.

CBE has said that the refinery, with the acquiescence of authorities, seeks to “piecemeal” what the environmental group describes as “a tar sands refining project that could worsen pollution, climate, and refinery and rail explosion hazards.” The environmental impact report, CBE contends, “hid the project from the public and failed to mitigate its significant environmental impacts.”

A rail spur project at the Santa Maria refinery, designed to receive about five trains a week, each with about 80 tank cars of crude oil, is under review by San Luis Obispo County.

The trains could arrive at Santa Maria from the south, via the Los Angeles basin, or the north, possibly along the shores of San Pablo and San Francisco bays and through San Jose.

Crude oil is partially refined at the Santa Maria refinery, then sent on to Rodeo via a 200-mile pipeline.

Phillips 66 spokesman Paul Adler said Wednesday that the Board of Supervisors got it right on Feb. 3 and that its decision “will help ensure the long-term viability of the Rodeo Refinery and the many jobs it provides.”

“Our plans for this project reflect our company’s commitment to operational excellence and safety while enhancing the competitiveness of the facility,” Adler said in an email.

“Following two years of careful analysis by the Contra Costa County board and its expert staff, claims that this project is a crude by rail project were dismissed,” Adler added. “Continued allegations by Communities for a Better Environment that this is a crude-by-rail project are inaccurate and misleading.”

Officials at County Counsel Sharon Anderson’s office could not immediately be reached for comment.

Along with the Rodeo project’s environmental impact report, the Board of Supervisors on Feb. 3 rejected two appeals of a November 2013 county Planning Commission-approved use permit for the project. The appellants were CBE and the law firm of Shute, Mihaly & Weinberger on behalf of the Rodeo Citizens Association. The board vote was 4-1, with Supervisor John Gioia voting no.

The Rodeo project calls for installation of new equipment to recover and sell propane and butane instead of burning it as fuel at the refinery or flaring off excesses.

Phillips 66 has said the project would reduce emissions of several pollutants, including sulfur dioxide, partly by using cleaner-burning natural gas as refinery fuel and because sulfur would be extracted to prepare the propane and butane for sale.

The new equipment would include a hydrotreater, six storage vessels and two new rail spurs related to shipping the recovered propane and butane out of the refinery in tank cars.

Lawsuit filed to Stop Tar Sands in the Bay Area

Reposted from Communities For a Better Environment

Lawsuit filed TODAY to Stop Tar Sands in the Bay Area!

This morning CBE sued Phillips 66 and Contra Costa County based on the County’s omission of critical crude quality information and its failure to mitigate the significant environmental, public health and safety impacts from Phillips 66’s Propane Fuel Recovery Project before approving the project and issuing permits.

Read more in CBE’s press release [here] ; and see today’s filings [here].

7 Northern California Congress members call on feds to upgrade oil train safety now

Repost from The Sacramento Bee
[Editor: See also, Rep. Garamendi’s Press Release.  A PDF copy of the signed letter is available here.  See also coverage in The Benicia Herald.  – RS]

Sacramento area Congress members call on feds to upgrade oil train safety now

By Tony Bizjak, 03/02/2015 10:59 AM 
A BNSF train carrying 98 tankers of crude oil passes through midtown Sacramento from the North Dakota Bakken oil fields to a refinery in the Bay Area city of Richmond.
A BNSF train carrying 98 tankers of crude oil passes through midtown Sacramento from the North Dakota Bakken oil fields to a refinery in the Bay Area city of Richmond. | Jake Miille

Several Northern California representatives in Congress have sent a letter to the Obama Administration expressing displeasure that federal officials missed a self-imposed deadline to propose stronger safety regulations on trains shipping crude oil.

The Sacramento area is among many in the country that is seeing growing numbers of trains carrying volatile Bakken crude oil. Elsewhere in North America, several trains have crashed and exploded, including one carrying highly volatile Bakken crude in West Virginia several weeks ago that spilled oil into a river and set a forested area on fire.

Pressure is growing on federal officials to impose safety regulations. The federal government last year announced a series of potential rule changes, including requiring stronger tank cars, and set a January 2015 date for a likely ruling.

“Clearly action needs to be taken to increase the safety standards for rail cars transporting Bakken crude oil, and it must be taken now,” Rep. Doris Matsui, D-Sacramento, said in a press statement about the letter. “Our communities simply cannot afford any delay in implementation of stringent safety guidelines.”

The group, which includes Matsui, John Garamendi, D-Walnut Grove, and Mike Thompson, D-St. Helena, sent its letter Friday to the Pipeline and Hazardous Materials Safety Administration and Federal Railroad Administration, asking them to take action to make rail shipments safer.

“We understand that more than 3,000 comments to the rule were analyzed and we commend the DOT for its work with industry thus far on information sharing, slower speeds, and reinforced railcars, but the multi-pronged solutions for this important safety issue must be implemented as quickly as possible,” the group wrote in the letter.

“We also believe that DOT should issue a rulemaking that requires stripping out the most volatile elements from Bakken crude before it is loaded onto rail cars. This operation may be able to lower the vapor pressure of crude oil, making it less volatile and therefore safer to transport by pipeline or rail tank car. Additionally, we believe that track maintenance and improvements must be a priority.

“We need safer rail lines that are built for the 21st century including more advanced technology in maintaining railroad tracks and trains, so that faulty axles and tracks do not lead to further derailments. If more dangerous and volatile crude is to be transported through cities and towns and along sensitive waterways and wildlife habitat, the rail and shipping industries must do more.”

The letter from local leaders came a day after Pennsylvania Gov. Tom Wolf sent a similar, high-profile plea to the president.

“The pace of federal rulemaking on rail safety is too slow,” Wolf wrote in a letter to Obama. “We urge that new federal safety rules be developed and implemented with a sense of urgency appropriate to the risk presented.”

Federal transportation officials said they are taking the final steps now in the process, but that the issue is complex.

“I’ve made the tank car rule a top priority for this department because the American people must have confidence that when hazardous materials are transported through their communities, we’ve done everything in our power to make that train as safe as possible, “ Transportation Secretary Anthony Foxx said.

“This is a highly complex issue, consuming massive staff time, scientific study, dialogue with stakeholders and experts, and coordination across borders,” Foxx said. “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.”

Crude Oil on Derailed Train Contained High Level of Gas

Repost from The Wall Street Journal
[Editor: This is a MUST READ.  Highly significant findings, with life-and-death implications for all regulators, first responders, rail and oil industry workers and executives, and for every town and country along the rails.  – RS]

Crude on Derailed Train Contained High Level of Gas

Cargo would have violated new vapor-pressure cap that goes into effect in April

By Russell Gold, March 2, 2015 6:54 p.m. ET
crude_oil_train_derailment_Mt.CarbonWVa
The scene of a CSX crude-oil train burning after derailment in Mount Carbon, W. Va. Photo: Marcus Constantino/Reuters

The crude oil aboard the train that derailed and exploded two weeks ago in West Virginia contained so much combustible gas that it would have been barred from rail transport under safety regulations set to go into effect next month.

Tests performed on the oil before the train left North Dakota showed it contained a high level of volatile gases, according to a lab report reviewed by The Wall Street Journal. The oil’s vapor pressure, a measure of volatility, was 13.9 pounds per square inch, according to the Feb. 10 report by Intertek Group PLC.

That exceeds the limit of 13.7 psi that North Dakota is set to impose in April on oil moving by truck or rail from the Bakken Shale. Oil producers that don’t treat their crude to remove excess gas face fines and possible civil or criminal penalties, said Alison Ritter, a spokeswoman for the North Dakota Industrial Commission.

The state introduced new rules on shipping oil in December, after a series of accidents in which trains carrying crude from the Bakken erupted into fireballs after derailing. As the Journal has reported, oil from shale formations contains far more combustible gas than traditional crude oil, which has a vapor pressure of about 6 psi; gasoline has a maximum psi of about 13.5.

The company that shipped the oil,  Plains All American Pipeline LP, said it follows all regulations governing the shipping and testing of crude. “We believe our sampling and testing procedures and results are in compliance with applicable regulatory requirements,” said Plains spokesman Brad Leone.

New information about the West Virginia accident is likely to increase regulators’ focus on the makeup of oil being shipped by train. Federal emergency rules adopted last year imposed new safety requirements on railroad operators but not on energy companies.

“The type of product the train is transporting is also important,” said Sarah Feinberg, the acting head of the Federal Railroad Administration. “The reality is that we know this product is volatile and explosive.”

Ms. Feinberg has supported requiring the energy industry to strip out more gases from the crude oil before shipping it to make the cargo less dangerous, but such measures aren’t currently included in current or proposed federal rules.

In the wake of the West Virginia accident, members of Congress have called on the White House to expedite its review of pending safety rules developed by the U.S. Transportation Department. Timothy Butters, the acting administrator of the department’s Pipeline and Hazardous Materials Safety Administration, said the new regulations were being vetted as quickly as was practical, given what he called their complexity.

Some critics are calling for lower limits on the vapor pressure of oil moving by rail.

crude_oil_train_derailment_Mt.CarbonWVa02
The train that derailed in Mount Carbon, W.Va., in mid-February included 109 tanker cars loaded with about 70,000 barrels of Bakken crude. PHOTO: ASSOCIATED PRESS

The lower the vapor pressure, the less explosive the oil and “the less chance of it blowing up—that should be the common goal here,” said Daniel McCoy, the chief executive of Albany County, N.Y., which has become a transit hub for Bakken crude heading to East Coast refineries.

The train that exploded in West Virginia included 109 tanker cars loaded with about 70,000 barrels of crude. It traveled from Western North Dakota across Minnesota, Illinois and Ohio before derailing in Mount Carbon, W. Va. Nearly two dozen tanker cars full of crude oil were engulfed in flames, some exploding into enormous fireballs that towered over the small community and burned a house to the ground.

The cause of the derailment remains under investigation. State and federal officials have said the train was traveling well under speed limits imposed last year on trains carrying crude oil. The train was made up of relatively new tanker cars built to withstand accidents better than older models.

A couple hours after the derailment, CSX and Plains All American Pipeline turned over paperwork about the crude to first responders and state and federal investigators. The testing document was included; the Journal reviewed it after making an open-records request.

A spokesman for  CSX Corp. , the railroad that carried the oil at the time of the crash, said it had stepped up its inspections of the track along this route, a procedure that railroads voluntarily agreed to last year.

Related

“Documentation provided to CSX indicated that the shipments on the train that derailed were in compliance with regulations necessary for transportation,” said Gary Sease, a CSX spokesman. “We support additional measures to enhance the safety of oil shipments, and continue to work cooperatively with regulators, oil producers, tank car manufacturers and others to achieve ever higher safety performance.”

A spokesman for BNSF Railway Co., which hauled the crude oil from North Dakota to Illinois, where it was handed off to CSX, declined to comment on the derailment.

Intertek, the testing company, said it is abreast of the regulatory changes and “working closely with authorities and our clients to assure compliance.”

The U.S. Transportation Department is testing samples of crude that didn’t spill or burn and says it plans to compare its findings with the North Dakota test.

The fire burned for three and a half days. “If it is burning hard, you can’t put it out,” said Benny Filiaggi, the deputy chief of the Montgomery Fire Department, who responded to the West Virginia derailment. He said he received training from CSX about oil-train fires in October.

“We concentrated on evacuating everyone nearby before the first explosion,” Mr. Filiaggi said.

For safe and healthy communities…