Tag Archives: California Public Utilities Commission

Western Cities Magazine: A Growing Risk – Oil Trains Raise Safety and Environmental Concerns

Repost from Western City Magazine

A Growing Risk: Oil Trains Raise Safety and Environmental Concerns

By Cory Golden, in the February 2015 issue of Western City
George Spade/Shutterstock.com
George Spade/Shutterstock.com

More and more often, trains snake down through California from its northern borders, with locomotives leading long lines of tank cars brimming with volatile crude oil.

Rail remains among the safest modes of transport, but the growing volume of crude being hauled to California refineries — coupled with televised images of fiery oil train accidents elsewhere — have ratcheted up the safety and environmental concerns of city officials and the residents they serve.

Local and state lawmakers have found that their hands are largely tied by federal laws and court rulings pre-empting new state and local regulation of rail traffic.

Growing Volume and an Increasing Number of Accidents

Until recently, California’s refineries were served almost entirely through ports. An oil boom in North Dakota and Canada from the Bakken shale formation and a lack of pipeline infrastructure have led to a dramatic increase in oil-by-rail shipments nationwide.

Oil imports to California by rail shot up 506 percent to 6.3 million barrels in 2013 (one barrel equals 42 gallons). That number will climb to 150 million barrels by 2016, according to the California Energy Commission.

The surge represents an “unanticipated, unacceptable risk posed to California,” said Paul King, deputy director for the California Public Utilities Commission’s Office of Oil Rail Safety, during a Senate hearing last year.

As the volume of oil being transported by rail has swelled, derailments in the United States and Canada have also increased. Despite $5 billion in industry spending on infrastructure and safety measures — with half of that for maintenance — railroads spilled more crude in the United States during 2013 than in the previous four decades combined, according to an analysis of federal data by McClatchy DC News.

Railroads continue to boast a better than 99 percent safety record, and most spills have been small, but with each tank car holding more than 25,000 gallons of oil, the exceptions — including eight mishaps in 2013 and early 2014 — have been dramatic and devastating, none more so than an accident in July 2013. That’s when 63 cars from a runaway train exploded, leveling much of Lac-Mégantic, Quebec, and killing 47 people.

So far, California has been spared a major crude oil accident, but the number of spills here is climbing: from 98 in 2010 to 182 in 2013, according to the California Office of Emergency Services (OES).

Trains carrying Bakken crude travel south through Northern California, turning from the western slope of the Sierra Nevada and rumbling through the hearts of cities large and small. The trains pass within blocks of the state Capitol, hospitals and schools and through sensitive ecological areas such as the Feather River Canyon and Suisun Marsh.

Lethal Accidents Spur a Push for Increased Safety Measures

The Lac-Mégantic accident and others that have followed have led to a push for change at the federal level. Two agencies of the U.S. Department of Transportation (DOT), the Federal Railroad Administration and Pipeline and Hazardous Materials Safety Administration, shoulder responsibility for writing and enforcing railroad safety regulations.

In early 2014, the DOT and railroad industry announced a series of voluntary steps to increase safety. The DOT released a comprehensive rule-making proposal in July 2014, calling for structurally stronger tank cars, new operating requirements, speed restrictions, enhanced braking controls and route risk assessments, and a classification and testing program for mined gases and liquids.

The DOT proposal calls for phasing out within two years older model tank cars, called DOT-111s, long known to be vulnerable to rupturing in a crash. The National Transportation Safety Board, which investigates accidents, first urged replacing or retrofitting them in 1991.

In September 2014, the American Petroleum Institute and Association of American Railroads jointly asked the DOT for more time — up to seven years to retrofit tank cars.

Another safety measure, called positive train control (PTC), makes use of global positioning systems. It is intended to prevent collisions, derailments due to high speeds and other movements that could cause accidents, like a train using track where maintenance is under way. PTC can alert train crews to danger and even stop a train remotely.

Following a 2008 Metrolink crash in Los Angeles that killed 25 people — caused when an engineer missed a stop signal and collided with a Union Pacific freight train — Congress mandated PTC implementation on 60,000 miles of track nationwide. Large railroads have spent $4.5 billion to implement the technology, but the industry says it cannot meet its 2015 deadline.

Among the members of California’s congressional delegation demanding stricter regulations are Senators Dianne Feinstein and Barbara Boxer, who have called for more information to be released to first responders on train movements.

Sen. Feinstein also wrote a letter that urged the DOT to include pneumatic brakes, which can greatly reduce stopping distances, in its planned review of tank car design, and to extend the PTC requirement to any route used by trains carrying flammable liquids near population centers or sensitive habitat.

Meanwhile, Industry Continues to Grow

The growth in domestic crude oil is reflected in projects that include seven proposed, completed or under-construction expansions that together would have a maximum oil-by-rail capacity of 561,000 barrels per day at Bakersfield, Benicia, Pittsburg, Santa Maria, Stockton and Desert Hot Springs (see “Increasing Refinery Capacity” below).

As of December 2014, the Kinder Morgan Inc. facility in Richmond was the only refinery that could receive unit trains, which are trains with 100 or more tank cars carrying a single commodity and bound for the same destination.

InterState Oil Co. had its permit to offload crude at McClellan Park, in Sacramento County, revoked in November 2014 by the Sacramento Metropolitan Air Quality Management District. The district said it had issued the permit in error and that it required a full review under the California Environmental Quality Act.

Refineries in Bakersfield, Vernon, Carson and Long Beach were receiving crude deliveries from manifest trains, which carry a mix of cargo.

Safety Efforts Focus on Planning, Preparedness and Response

The Federal Rail Safety Act of 1970 authorized the U.S. secretary of transportation to create uniform national safety regulations. States are allowed to adopt additional, compatible rules if they do not hinder interstate commerce and address a local safety hazard. Courts have consistently ruled against almost all attempts by states to use the local safety hazard exception, however.

Thus, unable to regulate train movements, California lawmakers and agencies have pursued three main courses of action: planning, preparedness and response.

In the Golden State, the California Public Utilities Commission (CPUC) shares authority with the federal government to enforce federal safety requirements, and OES and local agencies lead emergency response. In 2014, Gov. Jerry Brown expanded the Department of Fish and Wildlife’s Office of Spill Prevention and Response to include inland areas.

The Legislature approved a Senate Joint Resolution, SJR 27 (Padilla), urging the DOT to safeguard communities and habitat, strengthen the tank car fleet, mandate the earlier voluntary safety agreement with railroads and prioritize safety over cost effectiveness.

Recent legislation includes AB 380 (Dickinson, Chapter 533, Statutes of 2014), which calls for increased spill-response planning for state and local agencies and requires carriers to submit commodity flow data to OES, and SB 1064 (Hill, Chapter 557, Statutes of 2014), which seeks to improve accountability and transparency regarding CPUC’s responses to federal safety recommendations.

The FY 2014–15 state budget also allocated $10 million to the CPUC, which planned to add seven more track inspectors, and authorized the state oil spill prevention fund to be used for spills in inland areas. In addition, the budget expanded the 6.5 cent per-barrel fee to include all crude oil entering the state.

The 10 state agencies that have some hand in rail safety and accident response have formed the Interagency Rail Safety Working Group. It issued a report last June that called for, among other things, older tank cars to be removed from service, stronger cars, improved braking, PTC and better markings on cars so that firefighters know how to proceed in an accident.

Speaking to Richmond residents in December 2014, Gordon Schremp, senior fuels specialist for the California Energy Commission, welcomed the moves to increase safety at the federal level. All indications were that railroads were complying with new measures like lower speed limits, he said.

“Does it mean there will be zero derailments? No, but the goal is to get there,” said Schremp.

Local government officials face a daunting challenge when it comes to disaster response.

The Interagency Rail Safety Working Group also found that, as of June 2014, there were no hazardous materials response teams in rural areas of Northern California and units in other areas of the state lacked the training and equipment needed to take a lead role. Forty percent of the state’s firefighters are volunteers.

“Training is of the utmost importance,” said Deputy Chief Thomas Campbell, who oversees the Cal OES Hazardous Materials Programs. “We understand that local governments are limited in finances and that it’s difficult to get firefighters out of rural communities to train because they are volunteers.”

Some Local Communities Oppose Expansion

At the local level the proposed expansion of California refineries sometimes has run into heated opposition.

After news reports revealed that Bakken crude was being transported into the City of Richmond, City Manager Bill Lindsay wrote a letter to the Bay Area Air Quality Management District in November 2014 calling for it to revoke energy company Kinder Morgan’s permit to offload the crude there. That followed a lawsuit filed by environmental groups to revoke the permit — a suit tossed out by the judge because it was filed too late.

Elsewhere, a proposal by Valero Energy Corp. would bring 1.4 million gallons of crude daily to its Benicia refinery. The proposal has been met with letters questioning the city’s environmental and safety analysis from senders that have included the CPUC, Office of Spill Prevention and Response, the Sacramento Area Council of Governments, the Capitol Corridor Joint Powers Authority and cities along the rail line, including Davis and Sacramento. The Union Pacific Railroad has responded by stressing federal pre-emption of rail traffic.

Even as those proposals played out, a pair of derailments in Northern California underscored the importance of the debate. While neither spill involved crude oil or hazardous materials, both served as a warning of the need for California to improve its emergency response capability. Eleven cars carrying freight derailed and spilled into the Feather River Canyon near Belden on Nov. 25, 2014. Three days later, one car tumbled off the tracks near Richmond. The cars were loaded with corn in the first instance and refrigerated pork in the second.

What’s Ahead

The League continues to closely monitor developments in oil by rail. In September 2014 the League made recommendations to the DOT on the federal rule-making governing rail safety. The recommendations included providing more information and training to first responders, mandating speed limits and stronger tank cars, and using all available data to assess the risks and consequences of crude oil transport. Two months later, the National League of Cities passed a resolution stressing many of the same safety measures.

League of California Cities staff conducted a series of webinars during fall 2014 to better acquaint members with the oil-by-rail issue, and its Public Safety and Transportation policy committees took up the subject in January 2015 meetings.


Increasing Refinery Capacity

The California Energy Commission is tracking the following projects, which would dramatically increase the oil-by-rail capacity of refineries:

  • Plains All American Pipeline LP in Bakersfield, which took its first delivery in November 2014, has a capacity of 65,000 barrels per day (bpd);
  • Alon USA Energy Inc. in Bakersfield, under construction, will be able to receive 150,000 bpd;
  • Valero Energy Corp. in Benicia, which is presently undergoing permit review, would have a 70,000 bpd capacity;
  • WesPac Energy-Pittsburg LLC in Pittsburg, undergoing permit review, could receive up 50,000 bpd by rail and 192,000 bpd through its marine terminal; and
  • Phillips 66 in Santa Maria, undergoing permit review, could accept 41,000 bpd.

In addition, Targa Resources Corp. at the Port of Stockton is planning an expansion that would enable it to receive 65,000 bpd. And Questar Gas Corp. is planning a project that could see it offload 120,000 bpd near Desert Hot Springs, then send it through a repurposed 96-mile pipeline to Los Angeles.


Photo credits: Ksb/Shutterstock.com; Steven Frame/Shutterstock.com.

 

Crude oil train shipments dwindle in California, for now

Repost from The Sacramento Bee

Crude oil train shipments dwindle in California, for now

By Tony Bizjak, 03/11/2015 9:47 PM
A BNSF train carries Bakken crude oil in the hills outside the Feather River Canyon last June.
A BNSF train carries Bakken crude oil in the hills outside the Feather River Canyon last June. Jake Miille / Special to The Bee

A year ago, California officials nervously braced for an influx of milelong trains carrying volatile crude oil to refineries in the Valley and on the coast – trains similar to the one that exploded two years ago in Canada, killing 47 people.

The trains never arrived. Although tank cars full of oil now roll daily through cities in the Midwest and East, provoking fears of crashes and fires, the number of oil trains entering California has remained surprisingly low, state safety regulators say, no more than a handful a month. In recent weeks, they appear to have dwindled to almost nothing.

The reasons appear to be mainly economic.

“Crude oil shipments from out of state have virtually stopped,” said Paul King, rail safety chief at the California Public Utilities Commission. “Our information is that no crude oil trains are expected for the rest of this month.”

Most notably, the BNSF Railway recently stopped running a 100-car train of volatile oil from the Bakken region of North Dakota through the Feather River Canyon and midtown Sacramento to the Bay Area. The trains, several a month, carried an estimated 3 million gallons of fuel each.

Bakken oil, a lighter type of crude, similar to gasoline, has gained a fearsome reputation since it entered the national scene a few years ago. A string of Bakken train explosions around the country prompted the federal government to issue a warning last year about the oil’s unusual volatility and launch efforts to write stiffer regulations on rail transport, including a proposal to require sturdier tank cars for oil.

Two more Bakken train derailments and explosive fires recently in West Virginia and Illinois triggered a new round of complaints that the federal government is dragging its heels in finalizing those regulations.

The BNSF train through Sacramento was believed to be the only train in California carrying 100 cars of Bakken oil. PUC rail safety deputy director King said his commission’s rail monitors have been told by owners of a Richmond oil transfer station in the Bay Area that refiners stopped the shipments in November as global oil prices dropped.

California Energy Commission fuels specialist Gordon Schremp said lower prices for other types of oil have made Bakken marginally less marketable in California, although that could easily change in the future.

Other projects, like a Valero Refining Co. plan to run two 50-car oil trains daily through Sacramento beginning this spring to its Benicia plant, have not yet gotten off the ground, in part because of political opposition. Under pressure from state officials, including Attorney General Kamala Harris, Benicia recently announced it is redoing part of its environmental and risk analysis of the Valero rail project. Valero has said it intends to ship lighter fuels, but has declined to say whether those will be Bakken.

State safety officials said the slowdown provides a bit more time to provide hazardous-materials training for more firefighters, as well as to put together a state rail-bridge inspection program and to upgrade disaster and waterway spill preparedness. But state officials said they still feel like they’re playing catch-up as they prepare for existing and future potential rail hazards.

“This apparent reprieve may seem helpful, but we still have substantial amounts of … hazardous materials traveling across California’s rail lines,” said Kelly Huston, deputy director of the state Office of Emergency Services. “It only takes one train to create a major disaster.”

Oil prices have begun rising again, and state officials say they expect Bakken shipments to Richmond and potentially elsewhere to be back on track at some point. “We don’t have any concrete info about when it will resume,” the PUC’s King said. “When prices come up, it is likely to resume, and that could be in months.”

Federal emergency rules require railroads to report to states when they run trains carrying more than 1 million gallons of Bakken crude, and then again when that amount changes by 25 percent or more. BNSF sent the state Office of Emergency Services a brief notice on Wednesday acknowledging it had not shipped more than 1 million gallons of Bakken on any train in the last week. The notice does not say how long ago the shipments stopped or when they may resume.

BNSF officials have contended in letters to the state that shipping information is proprietary and should be kept secret. A BNSF spokeswoman declined this week to discuss shipments with The Sacramento Bee, writing in an email, “Information regarding hazardous material shipments is only provided to emergency responders.”

King of the PUC said his monitors estimate that eight or more non-Bakken crude oil trains had been entering the state monthly from Canadian and Colorado oil fields recently, headed to refineries or transfer stations. The Canadian oil, called tar sands, is not considered as explosive as Bakken, but two tar-sands trains derailed and exploded in recent weeks in Ontario, creating fires that lasted several days.

The national concern about crude oil rail shipments follows a boom in domestic oil production, notably in North Dakota, where hydraulic-fracturing advances have freed up immense deposits of shale oil. Lacking pipeline access, North Dakota companies have turned to trains to ship the oil mainly to East and Gulf Coast refineries and to Washington state. Crude by rail shipments in the United States skyrocketed from 9,500 carloads in 2008 to 436,000 in 2013, according to congressional data.

California continues to produce a sizable amount of its own oil in Kern County and receives marine shipments from Alaska and foreign sources. Still, a recent state energy-needs analysis estimates the state could receive as much as 23 percent of its oil via train or barge from continental sources, including North Dakota, Canada, Texas and other Western states, in the coming years. That estimate is based on plans by refineries in Benicia, San Luis Obispo and Kern County to build rail facilities that can accommodate large crude transports.

KCBS 740AM PART I: Aging Bridges Raise Safety Concerns As Bay Area Receives Dramatic Increase Of Crude By Rail

Repost from CBS SF Bay Area 740AM (Part 1 of 3)
[Editor: Important coverage of bridge and infrastructure safety issues by Bay Area radio station KCBS 740AM.  See and listen also to Part II, Safety Information For Alhambra Trestle In Martinez And Other Bridges Kept By The Railroads AND Part III, Emergency Plans Stall Out For Trains Transporting Bakken Crude Oil In The Bay Area.  – RS]

Aging Railway Infrastructure Raises Safety Concerns As Bay Area Readies To Receive Dramatic Increase Of Bakken Crude Oil

Alhambra Trestle in Martinez, CA (Jeffrey Schaub)
Alhambra Trestle in Martinez, CA (Jeffrey Schaub)

KCBS Cover Story Special, Part 1 of 3, Produced by Giancarlo Rulli, December 29, 2014   – KCBS reporter Jeffrey Shaub and producer Giancarlo Rulli investigate the Bay Area’s aging railway bridges that will carry increasing loads of highly volatile Bakken crude oil from North Dakota in this three-part KCBS Cover Story Special.

MARTINEZ (KCBS) — Questions are being raised about the safety of the century-old Alhambra railroad trestle in Martinez. Some local residents and officials are concerned because the bridge is carrying an increasing number of loads of a highly volatile cargo.

kcbs mic blue Aging Railway Infrastructure Raises Safety Concerns As Bay Area Readies To Receive Dramatic Increase Of Bakken Crude Oil, Part 1 Of 3LISTEN: Aging Railway Infrastructure Raises Safety Concerns As Bay Area Readies To Receive Dramatic Increase Of Bakken Crude Oil, Part 1 of 3 click here, then scroll down to play

As the train rumbles its way across the 115-year-old Alhambra trestle in Martinez, loud creaks and rattles can be heard. And unlike more modern bridges, dozens of its bolts and bridge supports are rusted.

The trestle was originally built in 1899 and reinforced in 1929. The railroad replaced the rail deck in 2003, but the trestle’s support structures are 85 and to 115 years old.

“The railroad told us, actually, that the rust strengthens it,” City Councilman Mark Ross told KCBS, but he isn’t buying it.

He said that residents are worried about its safety, especially because it carries up to mile-long tanker trains loaded with highly volatile—and controversial—Bakken crude oil from shale fields in North Dakota.

“It really begs for inspection and a full report to the community as to its status,” Ross said.

Paul King, the Deputy Director of Rail Safety for the California Public Utilities Commission, agrees.

King said the Bay Area will soon see a dramatic increase in Bakken crude shipments over the Alhambra trestle.

“Somebody needs to be looking, overseeing it, and somebody needs to be doing it for the state of California.

A CPUC report identified railroad bridges as a significant rail safety risk, including many that are over 100 years old—structures like the one in Martinez.

That report and concerns about the Alhambra have the federal government also worried.

“We can’t wait because they will eventually collapse, fall apart—damage will be done,” Rep. John Garamendi (D-Walnut Grove) said.

He cites the derailment of a Bakken crude oil train in Quebec, Canada, which wiped out half the town of Lac-Mégantic, killing 47 people in July 2013.

Firefighters douse blazes after a freight train loaded with oil derailed in Lac-Megantic in Canada's Quebec province on July 6, 2013, sparking explosions that engulfed about 30 buildings in fire. A driverless oil tanker train derailed and exploded in the small Canadian town of Lac-Megantic, destroying dozens of buildings, a firefighter back from the scene told (François Laplante-Delagrave/AFP/Getty Images)That blaze burned for 36 hours.

“It’s a ticking time bomb—it’s just a matter of time,” Martinez resident Bill Nichols, who lives near the trestle, said.

But Lena Kent, a spokeswoman from the Burlington Northern and Santa Fe Railway said that concerns about the Alhambra are perceptions and not reality.

“At BNSF, safety is our first priority in everything that we do,” she said.

In Part II, we’ll look at how the state, federal cannot even obtain safety data about the Alhambra and other bridges carry Bakken fuel because—in part because there are so few inspectors.

 

 

 

Union Pacific boosts rail inspections in high-hazard mountain passes

Repost from The Sacramento Bee
[Editor: See video of reporter Tony Bizjak’s ride on the inspection car here.  – RS]

Union Pacific boosts rail inspections in high-hazard mountain passes

By Tony Bizjak, 10/19/2014
Mike Stoddard oversees the operation of Union Pacific Railroad’s EC-4 as it makes its way out of the Roseville yard on Oct. 6 in Roseville. The EC-4 is a 96-ton, 82-foot-long rolling track inspection car which travels 800-1500 miles a week making sure that heavily used railroad tracks are in good working order.
Mike Stoddard oversees the operation of Union Pacific Railroad’s EC-4 as it makes its way out of the Roseville yard on Oct. 6 in Roseville. The EC-4 is a 96-ton, 82-foot-long rolling track inspection car which travels 800-1500 miles a week making sure that heavily used railroad tracks are in good working order. Randy Pench

Faced with public concern about the risks of crude oil shipments, the Union Pacific railroad last month boosted its rail inspection program on mountain passes in California and the West, dispatching high-tech vehicles with lasers to check tracks for imperfections.

UP officials say they have leased two rail inspection vehicles, called geometry cars, doubling the number of computer-based safety cars in use on the company’s tracks. The move comes amid mounting public concern about hazardous-material shipments, including a growing quantity of highly flammable crude oil from North Dakota being shipped to West Coast refineries.

The inspection cars will supplement similar geometry cars UP owns that it uses to inspect hundreds of miles of tracks daily on the company’s main lines west of the Mississippi River. Running at regular train speeds, the inspection vehicles can detect tiny deviations and wear on rail lines that could cause a derailment if allowed to grow, UP officials said.

The new cars will patrol the main mountain routes into the state, UP officials said. Northern California sites will include Donner Pass, the Feather River Canyon and grades outside Dunsmuir. The state has designated all those areas high hazards for derailments.

In Southern California, the inspection vehicles will patrol UP’s looping line over the Tehachapi Mountains, as well as the line on the Cuesta grade in San Luis Obispo County. The trains also will check mountain rails in Washington, Oregon, Utah and Nevada.

“We’re ensuring we keep crude oil trains on the track,” said David Wickersham, UP’s chief maintenance engineer in the West. “We are going to time it so we are hitting California every three months.”

State rail safety chief Paul King of the California Public Utilities Commission applauded the move. “It’s easy to maintain a straight (flat) railroad, but it’s not as easy to maintain a curved rail like you find in the mountains,” King said.

Grady Cothen, a retired Federal Railroad Administration safety official, said the type of high-tech inspections cars UP is using have become a must for major railroad companies. With more freight moving through limited rail corridors, especially mountains, the financial and political implications of a major derailment that causes damage are huge for railroads.