By Roll Call Staff, March 13, 2015 9:55 a.m.
Sen. Heidi Heitkamp, D-N.D., center, is urging OIRA to “quickly finalize” regulations on rail shipment of crude oil. (Photo By Bill Clark/CQ Roll Call)
“Oh Ira, why can’t you work more quickly?” That might’ve been what tunesmith George Gershwin said to his lyric-writing brother Ira Gershwin. But for transportation purposes, it’s essentially what Sen. Heidi Heitkamp, D- N.D., said Thursday to OIRA – pronounced “oh-Ira” – the Office of Information and Regulatory Affairs, within the Office of Management and Budget.
OIRA is where proposed regulations go for a final vetting and it now has under review a series of proposed rules on more robust oil tank cars and safer transport of crude oil.
In a letter to OMB director Shaun Donovan, Heitkamp urged OIRA to “quickly finalize” the regulations so that shippers and first responders can know what they must do to more safely ship crude oil. Much of that oil comes from the Bakken formation in Heitkamp’s state and in Montana and is carried by rail to refineries on the East Coast and the West Coast.
She cited the December 2013 derailment, explosion and fire in Casselton, N.D., noting that while no one was killed in that incident “we were lucky… but we cannot depend on luck.”
Meanwhile House Transportation and Infrastructure Committee ranking member Peter A. DeFazio, D- Ore., has asked the Government Accountability Office to report to him on what railroads and the federal government are doing to prepare for an oil train derailment and fire “particularly in the most remote and environmentally sensitive areas”
DeFazio specifically asked the GAO to examine what the railroads are doing to preposition “critical resources necessary to respond to spills in both urban and rural areas, including forest lands, with limited road access, prone to catastrophic fire, or at-risk due to long-term drought” and to preposition “critical resources to contain and clean-up oil spills into rivers or other water bodies.”
As the Oregonian reported last year, “Eighteen oil trains a week move along the Washington side of the Columbia River Gorge.” Part of the gorge is a national scenic area and it borders national forests.
Andrew Maykuth, March 13, 2015, 1:08 AM
Recent oil train derailments have increased pressure on the federal government to improve safety standards. (REUTERS/Rick Wilking)
Philadelphia City Council on Thursday urged the federal government to tighten regulations on trains carrying crude oil, in the aftermath of a series of fiery derailments.
City Council unanimously approved a resolution that calls on Washington to approve new rules for railcars. It also calls for the city to plan emergency-response workshops for communities along oil-train routes.
Philadelphia-area oil refineries have become increasingly dependent upon rail shipments of domestic crude oil, which has displaced more expensive imported oil delivered by ships.
Two major freight carriers, CSX and Norfolk Southern, now move from 45 to 80 oil trains through Philadelphia each week, according to city officials.
The U.S. Department of Transportation sets rules governing railroad safety and railcar standards, so Council’s action is symbolic.
“With the increase of train traffic in Philadelphia, we are flirting with disaster,” said Councilman Kenyatta Johnson, the resolution’s sponsor.
Environmental groups including Clean Water Action, Delaware Riverkeeper Network, and PennEnvironment have lobbied Johnson’s office to take action since a CSX oil train last year derailed on a bridge near Center City. The accident caused no leaks, but the sight of oil cars tilted over the Schuylkill drew much attention to the issue.
Last month’s accident in West Virginia – one of five in recent weeks – has inspired a surge in calls for action.
The Federal Railroad Administration and the U.S. Pipeline and Hazardous Materials Safety Administration last year issued several emergency orders and advisories to address safety issues. The government is also considering new rules to phase out old tank car designs, though several of the most recent explosive derailments involved newer-model tank cars.
Repost from The Financial Post [Editor: Read this if you want to hear rail and transportation managers squirm. Best quote: “If you ship 10 times as much crude oil, you’ll get 10 times more derailments.” To which one might answer, “Yep.” – RS]
Recent train derailments are not a sign of deteriorating safety record, say analysts
By Kristine Owram, Mar 12 5:42 PM ET
Four separate oil trains — two in Ontario and two in the United States — have derailed and caught fire in the past month and in each case the tank cars met what are supposed to be tougher, safer standards. THE CANADIAN PRESS/HO – Glenn Thibeault
A recent spate of train derailments is not a sign that the industry’s safety record is deteriorating, but is rather “the bad luck of the stats,” analysts say.
A Canadian National Railway Co. train derailed near Brandon, Man., on Wednesday night, joining two other high-profile incidents involving CN trains in less than a month.
CN spokesman Brent Kossey said the cars were carrying refinery cracking stock, a non-regulated commodity that’s used in the petroleum refining process. One of the 13 cars that derailed sprung a leak, but there was no fire.
This is in contrast to two CN derailments near the community of Gogama, Ont., in the past month, both of which were carrying crude oil and caught fire. There have also been two fiery oil-train derailments in the U.S. since mid-February — one a BNSF Railway Co. train in northern Illinois and the other a CSX Corp. train in West Virginia.
It sounds like an alarming trend but analysts say it’s simply the inevitable result of the growing volumes of crude transported by rail, as well as increased scrutiny of the industry following the Lac-Mégantic, Que., disaster in 2013.
“Last year was the safest year on record,” Tony Hatch, principal at railway consulting firm ABH Consulting, said in an interview. “I think what you’re seeing is intense scrutiny and the bad luck of the stats.”
According to the National Energy Board, the volume of Canadian crude-by-rail exports has increased by 1,000% in less than three years, from 1.45 million barrels in the first quarter of 2012 to 15.95 million in the fourth quarter of 2014.
“If you ship 10 times as much crude oil, you’ll get 10 times more derailments,” Allan Zarembski, director of the railroad engineering and safety program at the University of Delaware, said in an interview.
He added that an oil-train is no more likely to derail than any other type of train.
“The oil trains aren’t heavier than a coal train or an iron-ore train or even a grain train,” he said.
“They’re all loaded to the same range, they don’t travel any faster — in fact, they travel somewhat slower than the heavy intermodal trains. There’s no particular reason why you should have more derailments associated with an oil train.”
The industry’s safety record has been steadily improving over the last several years thanks to new technology, said Russell Quimby, a former rail safety engineer with the U.S. National Transportation Safety Board and president of Quimby Consulting.
“In the last 20 years, the amount of detection and inspection technology introduced and implemented is tremendous,” Mr. Quimby said. “The accident statistics reflect that.”
According to the Transportation Safety Board, a total of 83 main-track derailments were reported in 2013, down 6% from the five-year average.
Transport Canada is also working to reduce the risk of fires and spills. The agency proposed Wednesday a new standard for the tank cars used to ship crude that will include thicker steel, insulation to protect the contents from fire and a shield to guard against punctures, among other things. If the measures are approved, older tank cars will be phased out by 2025.
“While we have already banned the least crash-resistant tank cars from the system and came out last year with tougher new regulations, we will continue to do more,” Transport Minister Lisa Raitt said in a statement. The minister has also called on CN to testify before the Transport Committee about the recent derailments.
But as long as crude is being shipped by rail, there will always be a risk of fiery derailments, Mr. Quimby said.
“You want to have zero accidents,” Mr. Quimby said. “It’s like flying. Statistically, flying is safer than driving but it’s not safer if you happen to be in the airplane that goes down.”
Canada to propose tougher oil tank standards after a string of crashes
Rob Gillies and Joan Lowy, March 12, 2015 1:22AM EDT
A CN Rail train derailment near Gogama, Ont., is shown in a Sunday, March 8, 2015 handout photo. (THE CANADIAN PRESS / HO – Glenn Thibeault)
TORONTO — The Canadian government has proposed tough new standards for rail tank cars used to transport crude oil in response to a string of fiery crashes. The proposal, posted online Wednesday by Transport Canada, would require the cars to have outer “jackets,” a layer of thermal protection, and thicker steel walls.
The requirements are tougher than the oil industry wanted. But the proposal doesn’t include electronically controlled brakes that automatically stop train cars at the same time instead of sequentially, which are opposed by freight railroads. Regulators said they will take that issue up separately
Final regulations are expected by mid-May. U.S. officials have been working closely with Canada on the regulations and the White House is reviewing a draft proposal.
There have been four oil train derailments in the U.S. and Canada since mid-February. A runaway oil train derailed in Lac-Megantic Quebec in 2013, killing 47 people.A U.S. Transportation Department analysis predicts that trains hauling crude oil or ethanol will derail an average of 10 times a year over the next two decades, causing more than $4 billion in damage and possibly killing hundreds of people if an accident happens in a densely populated part of the U.S.
New standards were enacted after Lac Megantic, but safety officials on both sides of the border called for even stronger measures after fiery derailments continued to happen despite the new tank cars standards.
The newest standard calls for a hull thickness of 9/16th of an inch, up from 7/17th of an inch and makes thermal jackets mandatory.
“The proposed requirements are still subject to final approval,” said Zach Segal, a spokesman for Transport Minister Lisa Raitt. “We are working to have this done in an expedited manner.”
Segal said Transport Canada is working in collaboration with the U.S and “wants this done and published as soon as possible.?” Segal said Prime Minister Stephen Harper’s cabinet will have final approval.
The Transport Canada proposal is a “pretty clear indication” of what final regulations are likely to look like, said Ed Hamberger, president of the Association of American Railroads.
“These are important protections to both help mitigate the potential for rupture of a tank car, as well as limiting the severity of an incident,” he said.
The oil and rail industries want thinner tank walls — half an inch thick, instead of the 9/16ths-inch that regulators propose. The thicker the shell, the less oil a tank car can hold, and with about a half-million carloads of crude hauled by rail in the U.S. and Canada last year, the cost difference could add up.
The tank cars in the recent accidents were built to a voluntary standard written by industry representatives in 2011 to answer criticism that cars used to transport flammable liquids were prone to rupture in an accident and spill their contents and ignite spectacular fires. But most recent accidents show that the newer cars — known as 1232s — also are prone to rupture, even at slow speeds. Trains involved in four recent accidents were travelling under 40 mph (64 kph).
The White House budget office is reviewing a draft proposal for a sturdier tank car design, as well as other safety proposals. U.S. and Canadian officials have been working closely together to co-ordinate the regulations since the tank cars move back and forth across the border. Railroads and shippers have said if there were separate regulations in each country it could cause significant shipping delays and raise costs.
The railroad association and officials from CSX, Norfolk Southern and Burlington Northern-Santa Fe argued against requiring the electronically controlled brakes in a meeting with White House officials last week, according to a document posted online by the government. They say the government has underestimated the cost of equipping tank cars with the brakes and overestimated the safety benefits. Railroads complain that electronically controlled brakes would cost them $12 billion to $21 billion.
The oil industry has rapidly moved to using trains to transport oil, in part because of oil booms in North Dakota’s Bakken region and Alberta’s oil sands, and because of a lack of pipelines.
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