California governor orders aggressive greenhouse gas cuts by 2030
By Rory Carroll, Apr 29, 2015 11:28pm IST
California Governor Jerry Brown looks on during a news conference at the State Capitol in Sacramento, California March 19, 2015. REUTERS/Max Whittaker
(Reuters) – California Governor Jerry Brown issued an executive order on Wednesday to cut greenhouse gas emissions 40 percent by 2030, a move he said was necessary to combat the growing threat of climate change.
The targeted reduction was tied to 1990 levels and is “the most aggressive benchmark enacted by any government in North America to reduce dangerous carbon emissions,” Brown said in a statement.
California operates the nation’s largest carbon cap and trade system. The state sets an overall limit on carbon emissions and allows businesses to hand in tradeable permits to meet their obligations.
Achieving the new target will require reductions from sectors including industry, agriculture, energy and state and local governments, Brown said.
“I’ve set a very high bar, but it’s a bar we must meet,” Brown told a carbon market conference in downtown Los Angeles on Wednesday.
Brown said the new target will position California as a leader in combating climate change in the United States and internationally.
Brown said he has spoken to leaders in Oregon, Washington and Northeastern states about collaborating with California to cut their output of heat-trapping greenhouse gases. Those states could potentially link to California’s carbon market in future years.
He said he has had similar discussions with leaders in the Canadian provinces of Quebec, British Columbia and Ontario, as well as in Germany, China and Mexico.
Quebec is already linked to the California market. Leaders in Ontario this month signaled their intention to join the program.
“This will be a local policy but it will be globally focused,” Brown told reporters on the sidelines of the conference.
United Nations Secretary-General Ban Ki-moon welcomed the news and encouraged other states and cities around the world to also take action, U.N. spokesman Farhan Haq said.
“California’s bold commitment to tackling climate change is a strong example to states and regions all over the world that they can join their national governments in taking ownership of this critical issue and in showing leadership,” Haq said.
The plan for how California will achieve the 2030 target will be hammered out over the next year by the California Air Resources Board (ARB), which oversees the cap-and-trade program.
“With this bold action by the governor, California extends its leadership role and joins the community of states and nations that are committed to slash carbon pollution through 2030 and beyond,” said Mary Nichols, chair of the ARB.
(Reporting by Rory Carroll in Los Angeles and Laila Kearney in New York; Editing by Susan Heavey and David Gregorio)
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
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.
Hundreds of illicit oil wastewater pits found in Kern County
By Julie Cart, 2/26/15 10:10PM
Pits containing production water from oil wells in Kern County. (Brian van der Brug / Los Angeles Times)
Water officials in Kern County discovered that oil producers have been dumping chemical-laden wastewater into hundreds of unlined pits that are operating without proper permits.
Inspections completed this week by the Central Valley Regional Water Quality Control Board revealed the existence of more than 300 previously unidentified waste sites. The water board’s review found that more than one-third of the region’s active disposal pits are operating without permission.
The pits raise new water quality concerns in a region where agricultural fields sit side by side with oil fields and where California’s ongoing drought has made protecting groundwater supplies paramount.
Clay Rodgers, assistant executive officer of the water board’s Fresno office, called the unregulated pits a “significant problem” and said the agency expects to issue as many as 200 enforcement orders.
State regulators face federal scrutiny for what critics say has been decades of lax oversight of the oil and gas industry and fracking operations in particular. The Division of Oil, Gas and Geothermal Resources has admitted that for years it allowed companies to inject fracking wastewater into protected groundwater aquifers, a problem they attributed to a history of chaotic record-keeping.
“The state doesn’t seem to be willing to put the protection of groundwater and water quality ahead of the oil industry being able to do business as usual,” said Andrew Grinberg of the group Clean Water Action.
The pits — long, shallow troughs gouged out of dirt — hold water that is produced from fracking and other oil drilling operations. The water forced out of the ground during oil operations is heavily saline and often contains benzene and other naturally occurring but toxic compounds.
Regional water officials said they believe that none of the pits in the county have linings that would prevent chemicals from seeping into groundwater beneath them. Some of the pits also lack netting or covers to protect migrating birds or other wildlife.
Currently, linings for pits are not required, though officials said they will consider requiring them in the future. Covers are mandated in some instances.
The pits are a common site on the west side of Bakersfield’s oil patch. In some cases, waste facilities contain 40 or more pits, arranged in neat rows. Kern County accounts for at least 80% of California’s oil production.
The facilities are close to county roads but partially hidden behind earthen berms. At one pit this week, waves of heat rose from newly dumped water, and an acrid, petroleum smell hung in the air.
Rodgers said Thursday that the agency’s review found 933 pits, or sumps, in Kern County. Of those, 578 are active and 355 are not currently used.
Of the active pits, 370 have permits to operate and 208 do not. All of the pits have now been inspected, he said.
The possible existence of hundreds of unpermitted pits came to light when regional water officials compared their list of pit operators to a list compiled by the Division of Oil, Gas and Geothermal Resources. The oil regulator’s list contained at least 300 more waste pits than water officials had permitted, Rodgers said.
His staff began inspecting the wastewater sites in April. Initial testing of water wells has not revealed any tainted water, he said.
The pits are an inexpensive disposal method for an enormous volume of water that is forced out of the ground during drilling or other operations, such as fracking. Rodgers said that just one field, the McKittrick Oil Field, produces 110,000 barrels of wastewater a day. According to figures from 2013, oil operations in Kern County produce 80 billion gallons of such wastewater — an amount that if clean would supply nearly a half-million households for a year.
More than 2,000 pits have been dredged over decades of oil operations in Kern County, according to water board records. Oil field companies have not always properly disposed of water, Rodgers said. As recently as the 1980s, it was customary to dump wastewater into drainage canals that line the San Joaquin Valley’s agricultural fields.
But using unlined pits to dispose of wastewater is becoming less common. Some states ban the practice, and many in the oil and gas industry do not consider it effective.
The water board’s long-term plan to address the problem includes requiring remediation of some abandoned pits so that contaminants left behind don’t pollute the air, Rodgers said.
In pits located near clean water sources, Rodgers said, operators will be required to install monitor wells to test water quality. The companies will pay for the testing and provide the results to water officials.
The water board will publish a series of general orders that he said will more tightly control the operation of wastewater pits.
“Our goal is to protect water quality,” Rodgers said. “Our goal is not to shut anybody down, but by the same token, they do not own the waters beneath them. Those waters are for the public good.”
State plan gives firms until Oct. 15 to stop injecting tainted water
By David R. Baker, Feb 10, 2015
Pumps operate at the Kern River Oil Field in Bakersfield in January. Jae C. Hong / Associated Press
Oil companies in California must stop injecting wastewater from their operations into potentially drinkable aquifers by Oct. 15, according to a plan by state regulators who allowed it to happen for years.
In a proposal submitted to the federal Environmental Protection Agency, regulators promised to painstakingly review wells at risk of contamination, ensuring the injections did not taint aquifers already used for drinking water or irrigation in the drought-plagued Central Valley.
The plan — from California’s Division of Oil, Gas and Geothermal Resources — comes in response to revelations that, for decades, the division granted oil companies permits to inject leftover water from their operations into aquifers that the federal government wanted protected. Now, with California heading into a fourth year of drought, that water may be difficult for humans to use.
A Chronicle analysis found that the state allowed oil companies to drill 171 wastewater injection wells into aquifers that could have been tapped for crops or people. Of those wells, 140 are still in use, according to the division. Injection into those wells must stop by mid-October unless specifically approved by the EPA, according to the plan.
A shuttered injection well next to a Palla Farms almond orchard sits empty in January. Palla Farms filed a suit blaming several oil companies for contaminating the local groundwater and killing trees. Jae C. Hong / Associated Press
February deadline
An additional 253 wells breached lower-quality aquifers still considered off-limits by the EPA, from which water could have been used with more extensive treatment. Oil companies must cease using these wells by Feb. 15, 2017, barring an exemption from the EPA.
The EPA, which helped uncover the practice in 2011, had given the division until Feb. 6 to submit plans for fixing the problem. The EPA has threatened to seize control of regulating the oil industry’s underground injection wells in California if the state doesn’t do a better job protecting groundwater supplies from contamination. (Although the division’s plan is dated Feb. 6, it was released to the public on Monday.)
“Our goal is to make sure the state is up to the job,” said Jared Blumenfeld, regional administrator for the EPA, in an interview before the division submitted its plans. “Frankly, if it got to the level where we needed to take (control) back, we would. That’s never been off the table. But I think we’re fairly far from needing to do that.”
The time frame for reform has already drawn fire from environmentalists. But both state and federal regulators say the oil industry will need time to comply. If the division is forced to shut down some wells to protect drinking water supplies, the oil companies will have time to find other ways to deal with the waste.
“This is a problem that we worked ourselves into over 30 years, and it’s not a problem that can be solved in a year,” said the division’s new supervisor, Steven Bohlen, appointed by Gov. Jerry Brown last year.
Problem’s roots
The problem dates to 1983, when the EPA gave the division authority to enforce the federal Safe Drinking Water Act in California’s oil fields.
The state’s oil reservoirs typically contain large amounts of briny water mixed with the crude. Companies must separate the oil from the water and get rid of the water, which is usually too laden with minerals and hydrocarbons to be used for drinking and irrigation. In addition, oil-extraction techniques such as hydraulic fracturing use freshwater that becomes tainted in the process and needs disposal .
Companies inject much of the leftover water back into oil reservoirs. But some of it is pumped into salty underground aquifers that have no oil.
The 1983 agreement listed by name aquifers that the oil industry would be able to use with a simple permit from the division. But in a bizarre snafu, there were two signed versions of the agreement, one of which listed 11 aquifers not found on the other.
The division started issuing permits for injection wells drilled into those aquifers, even though they didn’t previously contain oil and weren’t viewed by the EPA as suitable for wastewater disposal. Under the agreement, the EPA has final say on which aquifers the oil industry can and can’t use.
The state even authorized oil companies to inject into a handful of aquifers already in use for drinking and irrigation, leading to the emergency closure of eight injection wells last year. Officials have now tested nine nearby drinking wells for contamination and found none. But aquifers tainted with chemicals are difficult and expensive to clean, and state water regulators say they can’t be certain that contamination won’t eventually turn up in those drinking water supplies.
Onus on oil firms
In the future, oil companies will need to build a case for why specific aquifers should be considered suitable for wastewater disposal, according to the division’s proposal. The companies will submit their data to the division and the State Water Resources Control Board for review. If those two state agencies agree, they will — together — ask the EPA to allow injections into those aquifers.
As for the 11 aquifers compromised by the 1983 bureaucratic mix-up, injections there will be phased out by mid-February 2017, unless the EPA decides to let them continue.
Lethal Accidents Spur a Push for Increased Safety Measures
