Repost from UPI Business News [Editor: Significant quote: “Dalrymple said rail traffic may drop off once new pipeline infrastructure comes online. Three pipelines — Sandpiper, Dakota Access and Upland — should be in service by 2018” – RS]
North Dakota reviews oil-train safety
About half of the oil produced in the state is delivered by rail.
By Daniel J. Graeber | March 19, 2015 at 9:40 AM
North Dakota Gov. Jack Dalrymple calls for tighter rules to ensure safe transport of crude oil from state’s Bakken shale reserve. Photo by Steven Frame/Shutterstock
BISMARCK, N.D., March 19 (UPI) — There’s no way to offer a single solution that would allay concerns about the safety of crude oil transit by rail, North Dakota Gov. Jack Dalrymple said.
Dalrymple spoke with U.S. Transportation Secretary Anthony Foxx to discuss efforts to improve the safe transport of crude oil by rail from the state. The Republican governor said he called on the secretary to adopt new standards for rail cars carrying crude oil as soon as possible.
“Secretary Foxx and I agree that there is no single solution to improving the safety of rail transportation,” Dalrymple said in a statement Wednesday.
North Dakota crude oil production is more than existing pipeline capacity can handle, forcing many in the industry to use rail as an alternative transit method. The increase in rail traffic has in turn led to an increase in derailments involving trains carrying crude oil, a situation compounded by federal reports showing oil from the Bakken reserve area in North Dakota may be less stable than other types of crude oil.
A 200-page proposal from the Department of Transportation last year called for the elimination of older rail cars designated DOT 111 for shipment of flammable liquid, “including most Bakken crude oil.”
A February derailment in West Virginia involved a train carrying Bakken oil. At least 40 people were killed in Lac-Megantic, Quebec, in the 2013 derailment of a train carrying tankers of crude oil from North Dakota to Canadian refineries.
Dalrymple said rail traffic may drop off once new pipeline infrastructure comes online. Three pipelines — Sandpiper, Dakota Access and Upland — should be in service by 2018 and provide 895,000 barrels per day in new capacity.
North Dakota produces about 1.2 million bpd and about half of that is shipped by rail.
The state government in December approved a new measure that requires oil producers in North Dakota to install equipment at their facilities that would reduce the volatility of Bakken crude.
State rail regulators: Fine BNSF for not reporting leaks immediately
By Samantha Wohlfeil, March 19, 2015
BNSF rail cars on the railroad siding in Custer, Friday Aug. 22, 2014. The railroad is building a new siding from Ferndale to Custer. PHILIP A. DWYER — The Bellingham Herald
Washington state regulators have recommended BNSF Railway be fined up to $700,000 for failing to properly report more than a dozen hazardous materials spills in recent months despite the fact state staff had reminded the company how to do so last fall.
On Thursday, March 19, the state Utilities and Transportation Commission staff announced it found BNSF had failed to report 14 releases of hazardous materials, including crude oil leaks, within a half hour of learning about the leaks, as required by state law.
In one case, crews at BP Cherry Point refinery found crude oil had leaked onto the sides and wheels of a tank car, which was found to be 1,611 gallons short. That was on Nov. 5, but the UTC didn’t find out about it until Dec. 3, when it got a copy of the report BNSF sent to the U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration. Railroads have 30 days to file that type of report.
When contacted about the incident by a McClatchy reporter in January, BNSF said the train was “not in transit, not on our property and not in our custody” when the spill was detected, and the company had submitted the required reports to state and federal regulators.
In another case from Jan. 12 and 13, a train hauling 100 cars of Bakken crude oil from North Dakota to the Tesoro refinery in Anacortes had more than a dozen leaking cars discovered in multiple stops as it crossed the state.
Although the UTC sent an investigator to look at the leaking cars as part of a Federal Railroad Administration investigation, BNSF didn’t report the incident to the state’s 24-hour hotline at the Emergency Management Division until two weeks later. The hotline duty officer is in charge of alerting the various state agencies that might need to respond to a spill.
When asked by The Bellingham Herald in February why the January incident was reported more than a week later, BNSF spokeswoman Courtney Wallace replied that BNSF staff members thought they were following proper protocols, and had amended their Washington reporting policy following discussions with the UTC in January.
But the investigation released by the UTC on Thursday shows that on Oct. 22, 2014, the UTC had emailed a copy of the state’s reporting requirements to Patrick Brady, BNSF’s director of hazardous materials and special operations, in an effort to make sure BNSF knew how to report accidents.
As copied into the body of the Oct. 22 email to Brady, the state law regulating accident reports ( WAC 480-62-310) lists the hotline number, which types of incidents must be reported, and states that railroad companies must call within 30 minutes of learning of the event.
On Dec. 3, Brady emailed the UTC again asking, “Can you send me the regulatory reference to spill notification to the UTC?” Staff members again emailed Brady the state law on reporting requirements, according to emails included in the investigation.
From Nov. 1, 2014, to Feb. 24, UTC staff found BNSF committed 700 violations of the reporting requirement. Every day an incident goes unreported counts as a separate violation, per state law.
In addition to the leaking crude oil incidents, the UTC announcement lists a variety of leaks that occurred throughout the state: a tank car dripping gas/oil from a bottom valve in Spokane Valley on Dec. 8, 2014; cars leaking “primary sludge” found in incidents in Seattle, Vancouver and Everett in December; two 100-gallon spills of lube oil from locomotives in December and January, among others.
The commission could opt to fine the company $1,000 per violation of the reporting law, but no fine has been issued yet. The commission will set a final penalty after BNSF gets the chance to have a hearing.
“When a company fails to notify the (state Emergency Operations Center) that a hazardous material incident has occurred, critical response resources may not be deployed, causing potential harm to the public and the environment,” the UTC announcement states.
BNSF was still reviewing the report when contacted for comment on Thursday.
“In regards to reporting releases in Washington state, we believed we were complying in good faith with the requirements from our agency partners,” BNSF’s Wallace wrote in a statement. “Following guidance from the UTC in January 2015, BNSF reviewed its reporting notification process and amended its practices to address concerns identified by the UTC. We will continue to work closely with the UTC moving forward on this issue.”
BNSF is the largest railroad company operating in Washington.
Repost from The West Central Tribune, Willmar, MN [Editor: Quote: “‘It is sheer dumb luck’ that no major oil train issues have occurred in Minnesota, Senate Transportation Chairman Scott Dibble said.” See also this MPR report, which includes a map of major rail lines in Minnesota. – RS]
326,170 Minnesotans live near oil train tracks
By Don Davis, Forum News Service, March 19, 2015 11:56 a.m.
A pair of locomotives move past a variety of freight and tanker cars on tracks in December in Willmar.
ST. PAUL — State officials estimate that 326,170 Minnesotans live within a half mile of railroad tracks that carry crude oil, a distance often known as the danger zone.
People within a half mile of tracks usually will be evacuated if an oil train could explode or catch fire after a derailment.
The estimate, released this morning after state officials could not answer a Forum News Service question about the issue last week, is the first time Minnesotans had an idea about the number of people that state transportation and public safety officials say could be in danger of oil train explosions like those seen elsewhere in the United States and Canada.
“This data provides a greater emphasis on the need for a strong rail safety program,” Transportation Commissioner Charlie Zelle said. “If trains derail and an emergency occurs, many lives could be in danger.”
Zelle’s department did not immediately release data showing how many in any specific geographic area live in the danger zone.
State funds were appropriated last year to begin improving firefighter and other public safety workers’ training in dealing with crude oil explosions and spills.
“It is sheer dumb luck” that no major oil train issues have occurred in Minnesota, Senate Transportation Chairman Scott Dibble, D-Minneapolis, said.
Democrats are pushing for more oil train safety training money this year, as well as railroad crossing improvements, funded by increasing assessment on the state’s largest railroads, taxing more railroad property and borrowing money.
Crude oil trains travel on 700 miles of Minnesota tracks, carrying oil that originates in western North Dakota’s Bakken oilfield. Oil trains are destined for the East and Gulf coasts.
Most oil trains enter Minnesota in Moorhead and travel through the Twin Cities, although some come into Minnesota and head south through the Willmar area.
State transportation officials say each train carries about 3.3 million gallons of oil.
Most of Gov. Mark Dayton’s rail safety plan deals with improving railroad crossings, including adding overpasses and underpasses at crossings in Moorhead, Willmar, Prairie Island Indian Community and Coon Rapids. More than 70 other crossings also would be improved under the Dayton plan.
“Improved crossings will mean fewer chances for train and wheeled vehicles crashes, which will mean less likelihood of derailments,” Zelle said. “If an incident does occur, well-trained emergency personnel will be better able to protect the citizens and communities that lie along rail lines.”
None of the recent oil train explosions have occurred at road crossings. Five oil trains have derailed and caught fire in the past six weeks.
A Quebec train carrying North Dakota crude exploded in 2013, killing 47. A nonfatal derailment and fire near Casselton, N.D., brought the issue closer to home late that year.
The governor also proposes adding an oil train response training facility at the National Guard’s Camp Ripley.
Canada Transport Watchdog to Introduce New Tank Cars Ahead of Schedule
By David Ljunggren | March 18, 2015
IN PHOTO: Tanker rail cars burn after a crude oil train derailment 50 miles (80 km) south of Timmins, Ontario, in this picture from the Transportation Safety Board of Canada taken in Gogama, Ontario, February 16, 2015. Canadian National Railway Co is still cleaning up spilled oil and removing damaged rail cars after a weekend derailment on its line at a remote site. The company said 29 of 100 cars on the train heading from Alberta’s tar sands to eastern Ontario derailed late on Saturday and seven caught fire. There were no injuries. Picture taken February 16, 2015. REUTERS/Transportation Safety Board of Canada/Handout via Reuters
Canada’s transportation watchdog said that recent fiery derailments of trains hauling crude oil mean a new generation of stronger tanker wagons should be introduced ahead of schedule.
The Transportation Safety Board (TSB) is probing two accidents within the last month involving Canadian National Railway Co. oil trains which came off the tracks and caught fire near the small northern Ontario town of Gogama.
Both trains were hauling CPC-1232 crude tankers, meant to be safer than the older DOT-111 models that blew up in downtown Lac-Megantic, Quebec in 2013, killing 47 people. Canada last week unveiled tough standards for a new generation of tanker cars that would replace the CPC-1232s by 2025 at the latest.
“While the proposed standards look promising, the TSB has concerns about the implementation timeline, given initial observations of the performance of CPC-1232 cars in recent derailments,” the agency said in a release.
“If older tank cars, including the CPC-1232 cars, are not phased out sooner, then the regulator and industry need to take more steps to reduce the risk of derailments or consequences following a derailment carrying flammable liquids,” it said, but gave no details.
The agency said track failures may have played a role in each of the Gogama derailments as well as in the case of an oil train that left the tracks near Minnipuka, also in northern Ontario. No crude caught fire in that accident.
The TSB has issued a safety advisory letter asking the federal transport ministry to review the risk assessments conducted for the area.
“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,” said the agency.
“These higher forces expose any weaknesses that may be present in the track structure, making the track more susceptible to failure.”
It noted trains traveling in the area were under orders to travel slowly to protect against various infrastructure and track maintenance issues.
CN spokesman Jim Feeny said the company “has enhanced its already rigorous infrastructure and mechanical inspection procedures on this northern Ontario rail corridor.”
The office of Transport Minister Lisa Raitt – which has overall responsibility for regulating the rail industry – was not immediately available for comment.
(Additional reporting by Allison Martell in Toronto; editing by Chizu Nomiyama and Marguerita Choy)