While it has a phase-out process running into 2017 for old (DOT-111) rail tank cars that carry crude oil, Canada’s Transport Department (CTD) has accelerated the process by banning nearly 3,000 of the older model cars from carrying “dangerous goods” throughout the nation.
The transportation agency, the equivalent to the U.S. Department of Transportation (DOT), has ruled that 2,879 of the tank cars are not safe enough to continue carrying shipments of oil, chemicals or other explosive materials.
CTD issued a 30-day deadline to rail operators last April to stop using certain types of DOT-111 tank cars that were deemed to be least resistant to crashes, saying the cars needed to be refitted with thicker steel and stronger reinforcement over the next three years or face being decommissioned for crude shipments.
DOT-111 railcars were carrying crude in July 2013 when a train derailed causing an explosion that killed 47 people in the small Quebec town of Lac-Megantic (see Shale Daily, July 9, 2013). It was subsequently determined that more than 5,000 of the rail tank cars without reinforced bottoms were still operating in North America, nearly 3,000 of them in Canada.
Since then, CTD has taken further measures, including
Removing the least crash-resistant DOT-111 tank cars from dangerous goods service;
Introducing new safety standards for DOT-111 tank cars, and requiring those that do not meet the new standards to be phased out by May 1, 2017;
Requiring railway companies to slow trains transporting dangerous goods and introduce other key operating procedures;
Requiring emergency response plans for even a single tank car carrying crude oil, gasoline, diesel, aviation fuel, and ethanol; and
Creating a task force that brings municipalities, first responders, railways, and shippers together to strengthen emergency response capacity across the country.
“The department has moved to enhance inspections, documentation, and follow-up for rail safety and transport of dangerous goods,” the agency said on its website. “This includes more frequent inspections at sites where petroleum products are transferred from one mode of transport to another, for example from truck to rail.”
Early this year, the U.S. National Transportation Safety Board (NTSB) issued a series of recommendations calling for tougher standards for rail shipments of crude oil on both sides of the U.S.-Canada border (see Shale Daily, Jan. 23). NTSB and the Transportation Safety Board of Canada issued the recommendations jointly in recognition that the same companies operate crude rail trains in both nations, frequently crossing the U.S.-Canada border.
NTSB called the joint move unprecedented and said it came in response to growing concerns about “major loss of life, property damage and environmental consequences” from the increasingly large volumes of crude oil being carried by railroads in North America.
DOT’s Pipeline Hazardous Materials and Safety Administration earlier this year issued new rules dealing with the design of new rail tank cars, maintenance of the rail infrastructure, content of the crude supplies being shipped and notification and training of local emergency response organizations (see Shale Daily, July 24).
Newly elected mayor of Toronto says he wants oil trains out of his city
By Roger Annis | December 6, 2014
The Toronto Star has a front page story on Dec. 5 saying newly elected mayor John Tory wants trains carrying oil and other dangerous cargos through his city to be rerouted through less populated areas. Pretty big news, even if the conservative mayor is an unlikely candidate to carry this fight very far. Indeed, the Star says the mayor was “unavailable” for follow-up comment after delivering his one-off pronouncement on the matter.
Such rerouting would cost billions of dollars in new railway construction. Also, those communities upon which new, dangerous cargo rail lines would be imposed might, just maybe, say ‘no thanks’.
The Star also reports that the rail companies and Transport Canada are continuing to stonewall munipalities (and provinces?) over the release of studies of risk assessments of the movement of dangerous cargos. It writes:
In Toronto, the CP rail line runs through the city along Dupont St., while Canadian National’s line runs across the northern GTA, roughly parallel to Highway 407. Residents in downtown neighborhoods where trains carrying dangerous goods frequently travel have been clamoring for more information since the July 2013 Lac-Mégantic train derailment disaster, which killed 47 people. But neither Transport Canada nor the rail companies will provide the details they want, saying the information is commercially sensitive.”
The newspaper writes further:
Under an April 2014 emergency directive, rail companies must conduct a risk evaluation on every route that carries 10,000 or more tankers bearing dangerous goods per year, along with trains holding 20 or more carloads of dangerous goods.
A Transport Canada spokeswoman told the Star the risk assessments are reviewed by the federal regulator, but are not made public because the information still belongs to the rail companies and the documents “contain sensitive commercial information.”
The railways are sticking to their guns that they will only meet their supposed requirement to provide dangerous cargo information to municipalities on condition that the latter sign confidentiality agreements. CN says 360 municipalities, including Toronto, have signed on. Only one has refused–Windsor, Ontario. (It’s not clear from the Star report if the numbers are for Ontario or for all of Canada.) The Star writes:
Windsor Fire Chief Bruce Montone said he has yet to be authorized by city council to sign the document due to the last clause, which stipulates that the individual signing the agreement agrees that if they violate the agreement, CN can seek an immediate injunction in court.
“We would be giving up our inalienable right under the Charter to argue our case. That’s the piece that’s difficult,” he said. “We acknowledge that they can take injunctive action, and we won’t disagree with that. But who knows what the circumstances might be (for revealing information) …This is removing our ability to undertake due process.”
Unbelievable. What a show of feigned concern over Lac Mégantic that federal Transport Minister Lisa Raitt has been staging during this past year and a half.
One of the very big problems for CN and CP to transport oil from the west to the east is that they gave up their lines through the Ottawa Valley over the past 20 years. CP’s abandonment is quite recent; CN’s was 20 years ago. Oops, now we have a surge of oil rail traffic from western Canada and U.S. to Montreal and points east with nowhere else to direct it but through Toronto, be it via Michigan through Windsor and Sarnia or across and down from northern Ontario. There is an interesting Star article from earlier this year detailing the line abandonments. Excerpt here:
The second malady is line abandonment, which has spread aggressively since the 1970s. CP is ripping up its Ottawa Valley main line and, as a result, sending western crude oil bound for eastern refineries through Toronto, where it meets the flow of crude and ethanol coming from the U.S. via Windsor. This makes the trip 250 kilometres longer, strains CP’s busy southern Ontario network and increases the safety risks.
CN abandoned its Ottawa Valley line back in 1995 and has sent traffic for Montreal and points east through Toronto ever since. Its Toronto-Montreal line is busier than CP’s, handling numerous Via Rail passenger trains and all manner of freight, including U.S. crude oil entering Canada at Sarnia.
Today, another 975 kilometres of track is slated for scrapping. This includes the original CN Maritime main line. When the Plaster Rock derailment closed its primary Maritime freight artery, CN sent all Atlantic Canadian traffic, including crude oil, over this alternate route, proving its strategic value.
If I were a rail or an oil company executive in Canada right now, I would be praying very hard that another oil train disaster does not happen. Their disastrous oil by train expansion projects are hanging on very thin ribbons of steel.
I have a vague recollection from my younger years of a CN rail line that crossed central-northern Quebec and connected to the CN main line somewhere in northern Ontario or in Winnipeg. Turns out my recollection was good, but that line, built originally as the National Transcontinental Railway some 100 years ago and merged into CN rail later, has also been abandoned, in bits and pieces over the years. You can view an historic map of the line here. CN’s present-day route map is here. Like CP Rail, CN’s transcontinental connection in Ontario runs through Toronto.
This news from Toronto recalls the complaints of some mayors in the Vancouver region during the past year about the location of the BNSF rail line that carries coal and some (not a lot) of oil into the region from the U.S. along the Pacific coastline. They want the line moved inland and modernized. But who will pay hundreds of millions of dollars to build a new, rail line that doesn’t have a lot of traffic (less than 20 trains per day in total) unless there is lots of anticipated growth? The largest cargo on the line presently is coal, and we know where the future of that lies, as in ‘not so rosy’.
The business case and financing issues involved in a line relocation inland are troublesome details that the mayors overlook mentioning. I’m thinking here of the previous mayor of Surrey, Dianne Watts, who annointed her successor. When Mayor Watts mentioned last year (faintly echoing the demands of transportation experts going back decades) the creation of a fast passenger rail service to connect Vancouver to the large U.S. cities all the way to California, it sounded like she was serious about moving the rail line. But I can’t help but conjure an image of dazzling baubles being dangled before the citizenry.
Presently, Amtrak takes four hours to reach Seattle. An auto can make it in two and a quarter hours, plus whatever is the border wait time. Amtrak runs supplementary buses that are much faster than the train. Sadly in BC, we have federal and provincial governments that couldn’t give a hoot about rail passenger traffic. They have done nothing to promote it; worse, they have closed services and allowed rail lines and service to deteriorate to the point where closure seems just plain good sense. Who would want to travel in slow, dilapidated passenger trains over slow and dilapidated rail lines except for retired folks with a love of train travel and time on their hands?
The past and present mayors of Surrey are very close to the federal government. Dianne Watts will be a candidate of the Conservative Party in next year’s federal election. This is who we will expect to lead the very big, radical and necessary transition to railway travel to replace trucks and cars on highways? Not a chance.
As for the ‘green’ city council of Vancouver, I’m not aware that its majority party has an opinion on the whole matter. If it does, it didn’t voice it during last month’s municipal election.
Repost from The Portland Press Herald, Portland, ME [Editor: See photos, following the text below. – RS]
UMF students find Lac-Megantic on verge of rebuilding after disaster
But the residents of the Quebec town are divided on how to proceed.
By Kaitlin Schroeder, December 4, 2014
FARMINGTON — More than a year after a train carrying crude oil derailed and exploded in downtown Lac-Megantic, the Quebec town is making plans to rebuild.
A group of students from the University of Maine at Farmington who recently visited the town just over the Maine border said the community is working on a plan to rebuild, but is divided on how to proceed and hoping it can come up with the necessary money.
The students visited Lac-Megantic last month on the pilot trip of Global Perspectives, a two-day UMF excursion program focused on making international education more accessible and affordable for students.
The town was devastated July 7, 2013, by the worst Canadian railway disaster in 150 years, when an unmanned train with 72 carloads of crude oil rolled down an incline, derailed and exploded, killing 47 people and leveling 40 downtown buildings in the town of 6,000.
Over the past year, the town has started slowly to rebuild. The Farmington students visited the recently rebuilt public library, and on Wednesday they met with Maurie Stockford, director of the Farmington Public Library, to present her with tokens of friendship from its Lac-Megantic counterpart.
Farmington and Lac-Megantic are longtime partner towns. The Farmington library led a book drive to help Lac-Megantic rebuild its library and replace its collection of 60,000 books.
Clint Bruce, assistant professor of French at UMF, who helped lead the trip the first week of November, said Lac-Megantic officials are getting ready to start reconstruction.
Senior Tobias Logan said the town’s residents want to move past the disaster and are primarily interested in finding government funding to help pay for reconstruction. The cost of rebuilding the town is estimated at as much as $200 million.
Bruce said some limited reconstruction already has started. After the downtown destruction, he said, some of the businesses left but others, such as a large grocery store, have set up shop again on the outskirts of town.
Bruce said there are differing opinions about how to rebuild downtown, some wanting it exactly the way it was and others hoping to take advantage of the opportunity to make changes.
While community members disagree on some points, Bruce said, there is one area of consensus: Residents want to reroute the train tracks.
“They scare people,” he said. “People want the trains to go around the town.”
The railroad is operational again, and residents fear it will derail again, he said.
Images
Searchers dig on July 8, 2013, through rubble on a search for victims of the inferno in Lac-Megantic, Quebec, a day after a runaway train derailed, igniting tanker cars and burning much of the town, killing 47 people. Canadian Press file photo
Crude oil tankers from the Montreal, Maine & Atlantic railways are seen in the heart of downtown Lac-Megantic, Quebec, on July 9, 2013, two days after a train derailed then ignited, burning much of the town. Staff file photo by Michael G. Seamans
Repost from The Wall Street Journal [Editor: This is a must-read. IMPORTANT – See the Wall Street Journal site for an excellent video report and an interactive U.S. map showing the weekly average number of crude oil trains from the Bakken Shale in North Dakota that pass through each county. – RS]
Oil Trains Hide in Plain Sight
Rail Industry’s Secret: Volatile Crude Routes Often Kept From Cities and Towns
By Russell Gold, Dec. 3, 2014
Finding the locations of oil-filled trains remains difficult, even in states that don’t consider the information top secret. WSJ’s Leslie Eaton and Simon Constable discuss. Photo: AP
NEWARK, Del.—Early last year, a new kind of pipeline full of volatile oil appeared in this college town, halfway between Philadelphia and Baltimore.
If it had been a traditional pipeline, there would have been government hearings and environmental reviews. There would be markers or signs along the line’s route and instructions for nearby residents on how to react in an emergency. A detailed plan for responding to a spill would be on file with the federal government.
None of that happened here in Newark. In fact, nobody initially notified the city’s fire chief about the new line, which can carry more than a hundred thousand barrels of oil a day along Amtrak’s busiest passenger-rail corridor.
This was possible because the oil here is transported by a virtual pipeline: mile-long strings of railroad tanker cars that travel from North Dakota to a refinery in Delaware. In Newark, the cars are especially easy to spot as they often sit for hours on tracks 10 feet away from passing passenger trains, waiting for an opening at the nearby PBF Energy Inc. plant.
While the existence of this virtual pipeline is obvious to its neighbors—trains are visible from homes, the local commuter rail station, a park and a popular jogging trail—it is officially secret. Delaware Safety and Homeland Security officials contend that publicizing any information about the oil trains parked there would “reveal the State’s vulnerability to terrorist attacks,” according to a letter to The Wall Street Journal.
A Norfolk Southern Corp. train in a refinery in Delaware, waiting to unload its cargo of crude oil from North Dakota. Russell Gold/The Wall Street Journal
Finding the locations of oil-filled trains remains difficult, even in states that don’t consider the information top secret. There are no federal or state rules requiring public notice despite several fiery accidents involving oil trains, including one in Lac-Mégantic, Quebec, that killed 47 people.
The desire for secrecy seems wrongheaded to some experts. “If you don’t share this information, how are people supposed to know what they are supposed to do when another Lac-Mégantic happens?” asked Denise Krepp, a consultant and former senior counsel to the congressional Homeland Security Committee.
She said more firefighting equipment and training was needed urgently. “We are not prepared,” she said.
In May, federal regulators ordered railroads to tell states about the counties traversed by trains carrying combustible crude oil from the Bakken Shale in North Dakota so local first responders could be notified.
The Journal submitted open-records requests to all 48 contiguous states and the District of Columbia and received at least some information from all but 14: Colorado, Delaware, Idaho, Indiana, Louisiana, Maine, Maryland, Michigan, Nevada, Ohio, Tennessee, Texas, Vermont and West Virginia.
Mapping data received from the disclosing states, the Journal found a lot of other cities in the same situation as Newark. On its way to refiners on the East Coast and along the Gulf of Mexico, oil often sits in tank cars in railroad yards outside Harrisburg and Pittsburgh, Penn., and passes through Cleveland, Chicago, Albany, Seattle and a dozen other cities.
Bakken oil is flowing in two directions from North Dakota: west toward Portland and the Puget Sound; and east through Minneapolis, then southeast through Chicago, and across the northern edge of Indiana and Ohio. There it splits into three routes: One heads to Albany; another goes to Yorktown, Va., where the crude is transferred to barges for trips up and down the East Coast. The third heads to Philadelphia through Ohio, which is one of the states that doesn’t disclose data, but the Journal was able to deduce the routes by following available maps.
Other oil trains run south from Oregon to California, from Minnesota to Texas, and from Wisconsin toward the Gulf Coast.
Maryland previously had attempted to release oil-train information, but was successfully sued by Norfolk Southern Corp. and CSX Corp. Norfolk argued that these trains were carrying “highly volatile cargo” that could be a target for terrorists.
Railroads have continued to press for secrecy; in August, the Association of American Railroads and the American Short Line and Regional Railroad Association wrote a confidential letter to the federal government asking that routing information be kept from the public. The request was denied.
“The rail industry is concerned making crude oil route information public elevates security risks by making it easier for someone intent on causing harm,” said AAR spokesman Ed Greenberg. The group said it supports sharing information with local officials.
Neither the oil nor the railroad industry anticipated the rapid and dramatic rise of oil shipments by train. In 2009, U.S. railroads transported about 21,000 barrels a day of oil; today they carry 1.1 million barrels a day, according to data from the Surface Transportation Board, a federal regulator. Last year, railroads generated about $2.15 billion in revenue from moving crude.
Shipments of hazardous material, especially crude oil, have soared recently, even for railroads whose routes are far from the oil fields of North Dakota. Norfolk Southern and CSX, which serve the East Coast, moved 53,001 carloads of oil in the three months ended September, compared with just seven carloads during the same period of 2009, according to data from the federal Surface Transportation Board. They transported 156,731 carloads of industrial chemicals, some of which are hazardous, in the third quarter of this year, up 8% from five years ago.
Trains are the new pipelines, and have become a vital link in the energy infrastructure, said Dave Pidgeon, a spokesman for Norfolk Southern. “We are the keystone, the bridge, between the source of where the energy is extracted and where it is refined,” he said. Moving hazardous material like crude, he added, is “safe and getting safer.”
Trains offer the energy industry flexibility to move oil where it can fetch the highest prices. Building the needed loading and unloading terminals is fast and inexpensive, and an extensive rail network connects the Midwest to the East and West coasts.
While these virtual pipelines can be created in months, traditional pipelines have become increasingly difficult to install as environmental groups seek to block permits for new energy infrastructure.
“What we are seeing on rail is largely due to opposition to and uncertainty around building pipelines,” said Brigham McCown, who was the chief pipeline regulator under President George W. Bush . Pipelines, he adds, are far safer than trains.
Since Lac-Mégantic, several trains have derailed and exploded. Most of these accidents have happened in relatively rural areas like Casselton, N.D., a town of about 2,500 people 24 miles west of Fargo. But one occurred in downtown Lynchburg, Va., forcing the evacuation of much of the downtown in a city with 78,000 residents.
In response, railroads agreed to slow oil trains to 40 miles an hour in urban areas, and federal regulators have proposed a broader speed limit for older tank cars carrying volatile crude oil.
The rules don’t apply to other freight trains or Amtrak trains that share tracks in Newark with oil trains; about 85 Amtrak trains run through Newark every day, according to a spokesman, at speeds of up to 100 miles an hour. In addition to Norfolk Southern, which operates on the outskirts of town, CSX runs oil trains on a wholly separate track heading north toward refineries near Philadelphia.
Without oil trains, the local PBF Refinery might not be operating. Opened in 1956 on the Delaware River, the refinery handled imported oil that arrived by water from overseas; it was mothballed in 2009 as the economics of importing crude oil soured and demand for gasoline slumped.
PBF bought the refinery in 2011, reopened it the next year and began adding facilities to unload crude from trains. The company owns or leases 4,000 tank cars, has 1,900 more on order and said it is committed to using the safest cars available.
The refinery built a double loop that can accommodate two trains, each holding 70,000 barrels of crude. It can take workers 14 hours to unload each train by connecting hoses to drain out the cargo.
The Bakken crude contains a lot of butane, making it volatile but useful for mixing with heavier oils or as a refined byproduct, said refinery manager José Dominguez. On a recent afternoon, the refinery was running mostly Bakken oil, along with some diluted crude from Canadian oil sands and a ship’s worth of light sweet oil from Basra, Iraq.
When Norfolk Southern began routing crude trains through Newark, it didn’t notify the local emergency officials. Last March, a year after trains started turning up, Fire Chief A.J. Schall sat down with officials from the railroad and refinery to discuss the crude shipments.
“It shows a lack of communication,” he said. By the summer, Norfolk Southern and PBF paid for Mr. Schall and another local fire chief to fly to Colorado and attend a three-day class on crude-by-rail trains.
Some people who live and work along the tracks say that they are disquieted by the increased traffic and especially of the new presence of mile-long strings of black tanker cars, but unaware of any new accident-preparedness plans.
Demitri Theodoropoulos, who manages a record store facing the intersection, said that since 2004 his security cameras have recorded 14 collisions, including one in 2012 when a train smashed into a large truck.
“We have major, major freight traffic here,” he said. “I see trains with crude every day or so. I don’t like it, but this is the way it is.”
A group of students from the University of Maine at Farmington who recently visited the town just over the Maine border said the community is working on a plan to rebuild, but is divided on how to proceed and hoping it can come up with the necessary money.
Crude oil tankers from the Montreal, Maine & Atlantic railways are seen in the heart of downtown Lac-Megantic, Quebec, on July 9, 2013, two days after a train derailed then ignited, burning much of the town. 
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