Schumer: Army Corps To Dredge East Rockaway Inlet

Schumer: Army Corps To Dredge East Rockaway Inlet

In light of the fact that a 281-foot tanker carrying 672,000 gallons of heating oil ran aground in East Rockaway earlier this month rendering the inlet unusable for fuel delivery, today Senator Charles E. Schumer called on the Army Corps to immediately reprogram funding and expedite sorely needed dredging at the inlet. East Rockaway is a major route for the delivery of home heating oil - oil to schools and municipalities, diesel fuel, and oil for power plants throughout Long Island, including the nearby E.F. Barrett power station in Island Park. Without immediate dredging the inlet cannot sustain the barges that come through to deliver oil. If barges cannot use the inlet energy costs could skyrocket on Long Island.

"As of now barges can't deliver much needed home heating oil via the inlet, and without dredging the inlet will be unusable, driving the cost of heating homes on Long Island way up. With winter on our doorstep dredging the inlet will be a win-win for Long Island. We will be able to keep the cost of home heating at bay and make inlets safer for fishing, boating, navigation and emergency response."

On November 10th the tanker, Kristin Poling, got stuck in East Rockaway Inlet at the entry point to Reynolds Channel about 450 yards from shore. The channel is a major route for fuel tankers and the Kristin Poling frequently travels to the Sprague Energy terminal in Oceanside which supplies oil for western Long Island. The channel, however, is only 12 feet deep and requires frequent dredging due to shifting shoals. According to a measurement taken by the ACOE this past spring, the inlet was filled with sand 5.5 feet higher than it was after it was last dredged in 2004. After receiving bids to dredge, the Army Corps is now approximately $500,000 short in funding. Schumer said that money must be reprogrammed immediately and dredging expedited. For a high priority area such as this, an indefinite delay would be devastating. Here, as is the case with numerous inlets throughout Long Island, both the Army Corps and Coast Guard agree that unsafe and inadequate conditions threaten economic activity, commercial and recreational fishing and boating, navigation, and emergency response.

According to reports, this is the second time in less than two years, and the third time in the last four years, that the same barge has run aground in the same area. On December 3rd, 2004, the vessel was carrying 756,000 gallons of home heating oil before it nearly spilled, prompting temporary restrictions on fuel barges in the area. In this most recent incident, the tanker was making a heating oil delivery to Sprague Energy's terminal. Several hundred thousand gallons of heating oil had to be transferred to another barge to lighten the tanker so it could be free of the sandbar. The significance of this event is not only the effect it has on home heating oil deliveries, but also that K-Sea Transportation uses the same inlet to make residual oil deliveries to the E. F. Barrett power station.

"This near disaster is the second that we have nearly averted in as many years. It is only a matter of time until our luck runs out and these aren't just stuck barges, they are large scale oil spills," Schumer said. "This is a classic example of an ounce of prevention being worth a pound of cure - we must dredge East Rockaway inlet and others now, before it is too late."

"The bottom line is that the shutdown of the Oceanside terminal would have a negative impact on oil prices. Prices would certainly go up for consumers across the board," said Kevin Rooney, CEO of the Oil Heat Institute of Long Island.

"I want to thank Senator Schumer for his quick response to a critical regional energy infrastructure issue. As a major route for oil deliveries to heat homes and schools, and fuel power plants, the inlet must be kept safe and reliable," Bob Catell, Chairman and CEO of KeySpan. "Thanks to the great work of the Coast Guard, a catastrophe was averted in the East Rockaway inlet. However, another similar incident could provoke an Island wide environmental and economic crisis unless changes to our inlets are made," said Congresswoman Carolyn McCarthy. I look forward to working with Senator Schumer, the Coast Guard, and the Army Corps of Engineers to secure the funding needed to solve this problem before a grounded tanker causes real damage to one of our inlets and the surrounding community."

The E.F. Barrett power station is a dual fuel fired facility using either natural gas or residual fuel oil. During the year, it generally burns natural gas because it is more economic and available. However, during the winter months (November through March) when the weather is extremely cold, natural gas is expensive and sometimes unavailable for use at the power station. When this situation occurs, oil is needs to be burned. Schumer said today that is imperative that the Barrett Station is able to receive oil deliveries via barge to replenish its oil supply.

Both the vessel operator and Sprague Energy have expressed serious reservations about attempting to deliver the oil through this impassable inlet again. Alternatives such as trucking from longer distances or making fewer shipments are potentially cost-prohibitive to the companies or devastating to consumers. It is rather likely that Sprague's Oceanside terminal will be shut down entirely and have a devastating impact on supply and cost.

If oil cannot travel through the inlet, costs for home and school heating oil, diesel fuel, and oil to fuel power plants will rise. If there are no available supplies out of the Oceanside terminal, there will be a major supply and price problem that will be particularly pronounced in the upcoming winter months. These shipments account for anywhere between 10-20% of the heating oil sold on a daily basis to central and south Nassau County. According to Sprague Energy 60 different local resellers are supplied from Oceanside with 40,000,000 gallons per year distributed and 50,000 homes served.

If oil cannot be transported via East Rockaway, KeySpan estimates this could result in $500,000 in higher costs per day. Moreover, the loss of the ability to use residual fuel oil due to a lack of deliveries at Barrett could increase costs by $8-$12 million per year which would likely be passed on to consumers. Additionally, if natural gas were also unavailable, the station may not be able to generate any electricity at all. Barrett supplies 10% of the on-island steam powered electric generation and is critical in the reliability of the Long Island electric system.

While the inadequate conditions at East Rockaway has jeopardized its capacity to receive oil barges, other inlets throughout Long Island are in equally poor shape. Despite the obvious negative impacts on erosion, navigation, commercial and recreational fishing, boating, and most importantly, emergency response, the country does not give the issue the attention it demands. The USCG has faced serious problems in responding to incidents at Jones Inlet. Problems also plague Fire Island, Shinnecock, and Moriches Inlets.

In a letter to the Army Corps, Schumer wrote "This problem has flown under the radar for far too long. Without permanent curative measures and a long-term plan, the situation will only worsen on Long Island. I urge the ACOE to work with the USCG and my office in creating a new program to address these concerns. It is vital that a real plan with a different funding mechanism be implemented to allow the ACOE to prioritize and take action at inlets and shallow draft harbors throughout the region."

In an effort to ensure that waterways crucial to the economic health of Long Island remain usable as an essential short-term solution Schumer requested that the Army Corps reprogram funding to make up the shortfall and dredge on an expedited basis. He also said that the 2 year dredging cycle should be changed to an annual cycle. For the long-term, the Senator called on the ACOE to work with the USCG in creating a new permanent and fully funded Regional Inlets Program to reassess the conditions and problems at every single inlet; the appropriate dredging cycles; the funding needed on a consistent basis; and then provide recommendations for new curative measures.

"With Long Island energy consumers facing the prospect of higher prices, boaters facing untenable waters, and the USCG facing obstructed emergency response, immediate action and permanent solutions are critical," Schumer said.

Schumer was joined by Bob Catell, Chairman and CEO of KeySpan; Lt. Commander Alan Blume, United States Coast Guard; Steven Levy, Sprague Energy; and Kevin Rooney, CEO of the Oil Heat Institute of Long Island.

http://schumer.senate.gov/SchumerWebsite/pressroom/record.cfm?id=266175&&year=2006&