Tag Archives: Sierra Club

Billion Dollar Project Will Bring Millions Of Tons Of Coal To Area Next To Bay Bridge Toll Plaza

Repost from CBS San Francisco / 5KPIX / KCBS740AM-106.9FM

Billion Dollar Project Will Bring Millions Of Tons Of Coal To Area Next To Bay Bridge Toll Plaza

By Christin Ayers, July 1, 2015 9:15 PM


OAKLAND (CBS SF) — Coal is so polluting that demand for it as an energy source is way down in the U.S. The industry has to increase exports to survive. To do that we’ve learned it’s got its eye on the Bay Area.

On the grounds of the old Oakland Army Base a transformation is underway. A new billion dollar rail and marine terminal, called the “Trade and Logistics Center” will open in just three years as a world class hub for the export of bulk commodities, mostly to Mexico, Japan and China

“It’s going to be great for Oakland,” said Jerry Bridges. He’s been hired by the developer to run a project centerpiece, a rail to ship transfer facility right next to the Bay Bridge toll plaza. “Our goal is to have soda ash moved through the facility, pot ash, borax, umm sodium concentrate, coal.”

Coal, Bridges says will be a big part of it. He says he’s close to signing a lucrative contract with 4 counties in Utah to receive and ship out 3 million tons of coal a year. “And let me just say about the coal out of that region: It’s the highest quality coal in the country, and thereby it’s the highest quality coal in the world.”

Coal is already exported through a private transfer yard in Richmond, where it sits in open rail cars right next to homes. Residents are complaining about the coal dust, an air pollutant known to cause asthma and cancer. But Bridges says his terminal will be different. “Every commodity that ships through our facility will arrive at the facility on the railroad in covered rail cars,” he said.

But Jess Dervin-Ackerman of the Sierra Club is skeptical. “They could promise to do that and then not do it,” she said. “Nowhere in the U.S. is coal transported with covered rail cars so how can we know that they can actually do that and protect the community,” she said.

And she says it’s not just about Oakland and the Bay Area. The coal will release tons of greenhouse gases in Mexico and China. “What we are saying is not in anybody’s back yard. We want to leave the coal in the ground,” she said.

Oakland leaders agree. In fact they’ve voted to divest in coal. But we’ve learned they may have tied their own hands when it comes to this deal. The development agreement they signed  says “all approvals shall be made by the city administrator,” which leaves the city council and the public out of the loop, even though the city owns the land that the terminal will be built on.

“Right now we are just focusing on getting it built,” said Mayor Libby Schaaf’s spokesperson Erica Derryck. KPIX5 asked her if the mayor was comfortable with coal exports being part of the project. Her response: “I think it’s too early to say what exactly is going to be part of the commodity group that will be coming through the facility.”

But KPIX 5 obtained an email that shows the mayor is working behind the scenes to put the kabosh on the coal deal. “I was extremely disappointed to hear Jerry Bridges mention the possibility of shipping coal into Oakland,” she writes to the developer.  “Stop it immediately.”

But Jerry Bridges says he has no plans to back down. “The CEQA entitlement gives us every right to build and transport what we need to transport in order to be a viable and feasible project,” he said.

The project’s developer and landlord, prominent Oakland businessman Phil Tagami, turned down our request for an interview. In a statement he says it’s not up to him to decide what comes through the new terminal, it’s up to the man he hired to run it, Jerry Bridges.

Phil Tagami’s complete statement:

The City of Oakland approved an agreement to create the Oakland Bulk and Oversized Terminal (OBOT), a multi-commodity bulk marine terminal at the former Oakland Army Base, in 2012. The City’s agreement with California Capital & Investment Group (CCIG) was comprehensively analyzed and endorsed under the California Environmental Quality Act (CEQA) and reflects a modern, industry-standard marine terminal facility and operation that is consistent with state and federal law. Nothing has changed since the 2012 approval.  OBOT’s construction and operations are designed consistent with the lawful expectations of potential customers – accommodating three or four of the full spectrum of approximately 15,000 bulk commodities regulated by federal law. This is standard industry practice and uniform at marine terminals throughout the United States.

In analyzing OBOT’s development under CEQA, the City imposed a comprehensive series of mitigation measures and conditions that the terminal operator will adhere to. No commodity may be transported through OBOT without full compliance with all applicable state and federal regulations.

CCIG is constructing OBOT, but is not and will not be the terminal operator. Neither CCIG nor any prospective terminal operator has made commitments to shipping any particular commodity through the terminal at this point in time. But, the issue is not about any single commodity. The City reviewed and approved OBOT as proposed. And in reliance on those approvals, CCIG and others have made binding and enforceable commitments to deliver OBOT for operations as entitled to ensure the viability of the entire revitalization plan for Oakland’s working waterfront.

NPR: Battle Over New Oil Train Standards Pits Safety Against Cost

Repost from National Public Radio (NPR)

Battle Over New Oil Train Standards Pits Safety Against Cost

By David Schaper, June 19, 2015 3:30 AM ET

A train carrying crude oil derailed in Mount Carbon, W.Va., in February, causing a large fire that forced hundreds of people to evacuate their homes.
A train carrying crude oil derailed in Mount Carbon, W.Va., in February, causing a large fire that forced hundreds of people to evacuate their homes. Steven Wayne Rotsch/Office of the Gov. of West Virginia/AP

The federal government’s new rules aimed at preventing explosive oil train derailments are sparking a backlash from all sides.

The railroads, oil producers and shippers say some of the new safety requirements are unproven and too costly, yet some safety advocates and environmental groups say the regulations aren’t strict enough and still leave too many people at risk.

Since February, five trains carrying North Dakota Bakken crude oil have derailed and exploded into flames in the U.S. and Canada. No one was hurt in the incidents in Mount Carbon, W.Va., and Northern Ontario in February; in Galena, Ill., and Northern Ontario in March, and in Heimdal, N.D., in May.

Stephanie Bilenko of La Grange, Ill. (from left), Paul Berland of suburban Elgin and Dr. Lora Chamberlain of Chicago, are members of a group urging more stringent rules for the oil-carrying trains.
Stephanie Bilenko of La Grange, Ill. (from left), Paul Berland of suburban Elgin and Dr. Lora Chamberlain of Chicago, are members of a group urging more stringent rules for the oil-carrying trains. David Schaper

But each of those fiery train wrecks occurred in lightly populated areas. Scores of oil trains also travel through dense cities, particularly Chicago, the nation’s railroad hub.

According to state records and published reports, about 40 or more trains carrying Bakken crude roll through the city each week on just the BNSF Railway’s tracks alone. Those trains pass right by apartment buildings, homes, businesses and even schools.

“Well just imagine the carnage,” said Christina Martinez. She was standing alongside the BNSF tracks in Chicago’s Pilsen neighborhood as a long train of black tank cars slowly rolled by, right across the street from St. Procopius, the Catholic elementary school her six-year-old attends.

“Just the other day they were playing soccer at my son’s school on Saturday and I saw the train go by and it had the ‘1267’, the red marking,” Martinez said, referring to the red, diamond-shaped placards on railroad tank cars that indicates their contents. The number 1267 signifies crude oil. “And I was like, ‘Oh my God.’ Can you imagine if it would derail and explode right here while these kids are playing soccer and all the people around there?”

New federal rules require stronger tank cars, with thicker shells and higher front and back safety shields for shipping crude oil and other flammable liquids. Older, weaker models that more easily rupture will have to be retrofitted or replaced within three to five years. But Martinez and others wanted rules limiting the volatility of what’s going into those tank cars, too.

Oil from North Dakota has a highly combustible mix of natural gases including butane, methane and propane. The state requires the conditioning of the gas and oil at the wellhead so the vapor pressure is below 13.7 pounds per square inch before it’s shipped. But even at that level, oil from derailed tank cars has exploded into flames.

And many safety advocates had hoped federal regulators would require conditioning to lower the vapor pressure even more.

“We don’t want these bomb trains going through our neighborhood,” said Lora Chamberlain of the group Chicagoland Oil by Rail. “Degasify the stuff. And so we’re really, really upset at the feds, the Department of Transportation, for not addressing this in these new rules.”

Oil trains sit idle on the BNSF Railway's tracks in Chicago's Pilsen neighborhood.
Oil trains sit idle on the BNSF Railway’s tracks in Chicago’s Pilsen neighborhood. David Schaper/NPR

Others criticize the rules for giving shippers three to five years to either strengthen or replace the weakest tank cars.

“The rules won’t take effect for many years,” said Paul Berland, who lives near busy railroad tracks in suburban Elgin. “They’re still playing Russian roulette with our communities.”

A coalition of environmental groups — including Earthjustice, ForestEthics and the Sierra Club — sued, alleging that loopholes could allow some dangerous tank cars to remain on the tracks for up to a decade.

“I don’t think our federal regulators did the job that they needed to do here; I think they wimped out, as it were,” said Tom Weisner, mayor of Aurora, Ill., a city of 200,000 about 40 miles west of Chicago that has seen a dramatic increase in oil trains rumbling through it.

Weisner is upset the new rules provide exemptions to trains with fewer than 20 contiguous tank cars of a flammable liquid, such as oil, and for trains with fewer than 35 such tank cars in total.

“They’ve left a hole in the regulations that you could drive a freight train through,” Weisner said.

At the same time, an oil industry group is challenging the new regulations in court, too, arguing that manufacturers won’t be able to build and retrofit tank cars fast enough to meet the requirements.

The railroad industry is also taking action against the new crude-by-rail rules, filing an appeal of the new rules with the Department of Transportation.

In a statement, Association of American Railroads spokesman Ed Greenberg said: “It is the AAR’s position the rule, while a good start, does not sufficiently advance safety and fails to fully address ongoing concerns of the freight rail industry and the general public. The AAR is urging the DOT to close the gap in the rule that allows shippers to continue using tank cars not meeting new design specifications, to remove the ECP brake requirement, and to enhance thermal protection by requiring a thermal blanket as part of new tank car safety design standards.”

AAR’s President Ed Hamberger discussed the problems the railroads have with the new rules in an interview with NPR prior to filing the appeal. “The one that we have real problems with is requiring something called ECP brakes — electronically controlled pneumatic brakes,” he said, adding the new braking system that the federal government is mandating is unproven.

“[DOT does] not claim that ECP brakes would prevent one accident,” Hamberger said. “Their entire safety case is based on the fact that ECP brakes are applied a little bit more quickly than the current system.”

Acting Federal Railroad Administrator Sarah Feinberg disagreed. “It’s not unproven at all,” she said, noting that the railroads say ECP brakes could cost nearly $10,000 per tank car.

“I do understand that the railroad industry views it as costly,” Feinberg adds. “I don’t think it’s particularly costly, especially when you compare it to the cost of a really significant incident with a train carrying this product.”

“We’re talking about unit trains, 70 or more cars, that are transporting an incredibly volatile and flammable substance through towns like Chicago, Philadelphia,” Feinberg continues. “I want those trains to have a really good braking system. I don’t want to get into an argument with the rail industry that it’s too expensive. I want people along rail lines to be protected.”

Feinberg said her agency is still studying whether to regulate the volatility of crude, but some in Congress don’t think this safety matter can wait.

“The new DOT rule is just like saying let the oil trains roll,” U.S. Sen. Maria Cantwell, D-Wash., said in a statement. “It does nothing to address explosive volatility, very little to address the threat of rail car punctures, and is too slow on the removal of the most dangerous cars.”

Cantwell is sponsoring legislation to force oil producers to reduce the crude’s volatility to make it less explosive, before shipping it on the nation’s rails.

Groups Sue Obama Administration Over Weak Tank Car Standards

Press Release from ForestEthics

Groups Sue Obama Administration Over Weak Tank Car Standards

The new safety standards issued by the Department of Transportation take too long to get dangerous tank cars off the tracks and contain loopholes that leave too many vulnerable
May 14, 2015, Eddie Scher, ForestEthics, (415) 815-7027, eddie@forestethics.org

San Francisco – In the wake of a spate of fiery derailments and toxic spills involving trains hauling volatile crude oil, a coalition of conservation organizations and citizen groups are challenging the U.S. Department of Transportation’s (DOT) weak safety standards for oil trains. Less than a week after the DOT released its final tank car safety rule on May 1, a train carrying crude oil exploded outside of Heimdal, North Dakota. Under the current standards, the tank cars involved in the accident would not be retired from crude oil shipping or retrofitted for another 5 to 8 years.

Earthjustice has filed suit in the 9th Circuit challenging the rule on behalf of ForestEthics, Sierra Club, Waterkeeper Alliance, Washington Environmental Council, Friends of the Columbia Gorge, Spokane Riverkeeper, and the Center for Biological Diversity.

“The Department of Transportation’s weak oil train standard just blew up in its face on the plains of North Dakota last week,” said Patti Goldman, Earthjustice attorney. “Pleas from the public, reinforced by the National Transportation Safety Board, to stop hauling explosive crude in these tank cars have fallen on deaf ears, leaving people across the country vulnerable to catastrophic accidents.”

Rather than immediately banning the most dangerous tank cars — DOT-111s and CPC-1232s — that are now used every day to transport volatile Bakken and tar sands crude oil, the new standards call for a 10-year phase out. Even then the standard will allow smaller trains — up to 35 loaded tank cars in a train — to continue to use the unsafe tank cars.

The new rule fails to protect people and communities in several major ways:

• The rule leaves hazardous cars carrying volatile crude oil on the tracks for up to 10 years.

• The rule has gutted public notification requirements, leaving communities and emergency responders in the dark about the oil trains and explosive crude oil rumbling through their towns and cities.

• New cars will require thicker shells to reduce punctures and leaks, but retrofit cars are subject to a less protective standard.

• The standard doesn’t impose adequate speed limits to ensure that oil trains run at safe speeds. Speed limits have been set for “high threat urban areas,” but very few cities have received that designation.

Click here for a close analysis of the hidden dangers buried in the federal tank car rule

“Explosive oil trains present real and imminent danger, and protecting the public and waterways requires an aggressive regulatory response,” said Marc Yaggi, Executive Director of Waterkeeper Alliance. “Instead, the Department of Transportation has finalized an inadequate rule that clearly was influenced by industry and will not prevent more explosions and fires in our communities. We hope our challenge will result in a rule that puts the safety of people and their waterways first.”

“We’re suing the administration because these rules won’t protect the 25 million Americans living in the oil train blast zone,” says Todd Paglia, ForestEthics Executive Director. “Let’s start with common sense – speed limits that are good for some cities are good for all communities, 10 years is too long to wait for improved tank cars, and emergency responders need to know where and when these dangerous trains are running by our homes and schools.”

LEGAL DOCUMENT: http://earthjustice.org/documents/legal-document/petition-for-review-groups-sue-obama-administration-over-weak-tank-car-standards 

BACKGROUND:

The National Transportation Safety Board has repeatedly found that the DOT-111 tank cars are prone to puncture on impact, spilling oil and often triggering destructive fires and explosions. The Safety Board has made official recommendations to stop shipping crude oil in these hazardous tank cars, but the federal regulators have not heeded these pleas. Recent derailments and explosions have made clear that newer tank cars, known as CPC-1232s, are not significantly safer, and the Safety Board has called for a ban on shipping hazardous fuels in these cars as well.

The recent surge in U.S. and Canadian oil production, much of it from Bakken shale and Alberta tar sands, led to a more than 4,000 percent increase in crude oil shipped by rail from 2008 to 2013, primarily in trains with 100 to 120 oil cars that can be over 1.5 miles long. The result has been oil spills, destructive fires, and explosions when oil trains have derailed. More oil spilled in train accidents in 2013 than in the 38 years from 1975 to 2012 combined.

ForestEthics calculates that 25 million Americans live in the dangerous blast zone along the nation’s rail lines.

REPORTER RESOURCES:

Q&A: The Challenge To The Federal Tank Car Standards

Map: Crude By Rail Across the United States

Quote Sheet By Officials On The Dangers of Shipping Bakken Crude in Hazardous Tank Cars

ForestEthics Map: Oil Train Blast Zone

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Groups sue to keep oil waste out of state’s aquifers

Repost from SFGate

Groups sue to keep oil waste out of state’s aquifers

By David R. Baker, Thursday, May 7, 2015 5:03 pm
Roger Christy a Petroleum Engineer walks a small portion of the eighteen square mile Kern River Oil Field in Bakersfield. 9,000 Oil wells at the Kern River Oil Field in Bakersfield owned by Chevron Oil along with two other fields in California produce on average 221,000 thousand barrels of oil per day. An additional 9,000 wells are scheduled to be drilled between the three fields this year, as Chevron goes after 3.8 Billion barrels that remain deep, using the steam method to extract the heavy crude that remains in beaded in the dense shell and layers of sand. Friday April 4, 2008 Photo By Lance / San Francisco Chronicle Photo: Lance Iversen / The Chronicle / SFC
Roger Christy a Petroleum Engineer walks a small portion of the eighteen square mile Kern River Oil Field in Bakersfield. 9,000 Oil wells at the Kern River Oil Field in Bakersfield owned by Chevron Oil along with two other fields in California produce on average 221,000 thousand barrels of oil per day. An additional 9,000 wells are scheduled to be drilled between the three fields this year, as Chevron goes after 3.8 Billion barrels that remain deep, using the steam method to extract the heavy crude that remains in beaded in the dense shell and layers of sand. Friday April 4, 2008 Photo By Lance / San Francisco Chronicle Photo: Lance Iversen / The Chronicle / SFC

Two environmental groups sued California regulators Thursday to stop oil companies from injecting wastewater into potentially usable aquifers beneath the state’s drought-ravaged Central Valley.

The suit, filed by the Sierra Club and the Center for Biological Diversity, claims the California agency that oversees oil fields is breaking the law by letting companies pump wastewater from their drilling operations into aquifers that the regulators were supposed to protect. The injections were the subject of a Chronicle investigation in February.

The state’s Division of Oil, Gas and Geothermal Resources (DOGGR) has moved to end the practice but has given oil companies until 2017 to shut down many of the injection wells. Environmentalists want all the wells closed immediately. The groups sued Thursday to overturn newly adopted regulations from the division that allow the continued injections.

“California has a drought, and we need to protect all the potential sources of drinking water we have, and DOGGR is allowing the continued pollution of aquifers,” said Will Rostov, a staff attorney for Earthjustice, which filed the suit on behalf of the environmental groups. “We want them to comply with the law, and the law is pretty clear — no more injections.”

The division declined to comment on the lawsuit.

The suit follows revelations that the division for years allowed oil companies to inject billions of barrels of water left over from oil pumping operations into aquifers that could have been used for drinking or irrigation. So far, no drinking-water wells have been found to be contaminated by the injections.

California’s oil reservoirs contain large amounts of salty water that must be separated from the petroleum and disposed of, usually by pumping it back underground. In 176 cases, the division let companies inject this “produced water” into high-quality aquifers — potentially clean enough to drink — that were supposed to be protected under federal law. Another 356 injection wells went into aquifers whose water could have been used with more extensive treatment.

In addition, the division improperly issued permits for about 2,000 wells that are pumping water or steam into aquifers that also contain oil, as a way of squeezing more petroleum out of the ground.

The injections angered federal and state officials, and the division’s newly installed director, Steven Bohlen, promised to end them. Twenty-three injection wells believed to pose the greatest risk to drinking water supplies have already been shut.

For the rest, however, the division set up a two-year closure schedule, with some allowed to operate until Feb. 15, 2017.

That lead time will give oil companies a chance to convince both the division and the U.S. Environmental Protection Agency that some of the aquifers — particularly those that also contain oil — should be considered suitable places either to dump produced water or inject steam to extract the petroleum. The EPA has the authority to declare an aquifer exempt from the federal Safe Drinking Water Act, making it eligible for wastewater injections.

“If they haven’t (already) been exempted from the Safe Drinking Water Act, the presence of economically recoverable oil makes them strong candidates for exemption,” Bohlen told California legislators at a hearing in March. “Water that comes mixed with oil is not something we want people drinking.”

Some aquifers, however, aren’t likely to receive an EPA exemption. In those cases, the 2017 deadline will give oil companies time to find other ways to get rid of their produced water, either by injecting it into one of the aquifers that the EPA has already declared exempt or by treating it on the surface.

Oil companies consider the two-year timetable short, but workable. Catherine Reheis-Boyd, president of the Western States Petroleum Association trade group, said the division’s plan should be given a chance to work, noting that it had received the EPA’s approval.

“The experts at those agencies, with the cooperation of oil producers, have made a careful evaluation of the situation and developed the action plan to address it,” she said Thursday. “This lawsuit is an attempt to thwart that regulatory process.”

The environmental groups want the injection wells shut now, while the oil companies apply to make some of the aquifers exempt.

“The division is doing it backwards, and that’s the point of this complaint,” Rostov said.

David R. Baker is a San Francisco Chronicle staff writer.