Letter to Cynthia Quarterman, Administrator of the US Department of Transportation - Improve Federal Oversight of Pipelines

Letter

Cynthia I. Quarterman
Administrator, Pipeline and Hazardous Materials Safety Administration
U.S. Department of Transportation
East Building, 2nd Floor
1200 New Jersey Ave., SE
Washington, DC 20590

Dear Administrator Quarterman:

We write to strongly urge you to quickly implement the policy recommendations made in the Department of Transportation's (DOT) internal audit to improve federal oversight of the nation's pipeline system.

The National Transportation Safety Board recommended DOT audit the Pipeline and Hazardous Materials Safety Administration's (PHMSA) oversight of state inspection programs after a 2010 natural gas pipeline explosion. The results of that audit showed multiple weaknesses in state programs, including the use of outdated formulas to determine how many inspectors are needed in each state and a lack of minimum qualification requirements for state inspectors.

In one case, an inspector with no formal training was responsible for pipeline inspections. DOT also found a lack of detail in the guidelines states use for inspections that led to uncoordinated and varying policies across states. Finally, DOT found that PHMSA's own assessments of state pipeline safety programs have been inaccurate.

Given PHMSA's responsibility for the safe and secure movement of hazardous liquids and natural gas through 85 percent of the nation's pipeline system, these findings are not only disturbing -- they are unacceptable. These findings suggest that the nation's 2.5 million miles of pipeline are at risk of an accident. While we recognize that PHMSA has responded to some of DOT's recommendations for improvement, we are asking that PHMSA provide the additional information requested by DOT in a timely manner and implement all measures needed to ensure pipeline safety.

The Midwest is a transportation hub for crude oil and natural gas movement throughout North America. PHMSA regulates over 78,000 miles of pipelines carrying hazardous liquids and natural gas through the state of Illinois. Over the last ten years there have been 22 serious incidents related to these pipelines that resulted in four fatalities, 33 injuries and about $8 million in property damage. In Michigan, PHMSA regulates nearly 69,000 miles of pipelines. Over the same time period, Michigan has experienced 116 serious incidents with nine fatalities, eleven injuries and over $1 billion in property damage. This includes the nation's largest inland oil spill in 2010, where approximately 843,000 gallons of oil spilled into the Kalamazoo River in Marshall, MI. DOT's audit of PHMSA oversight raises questions about whether such incidents may have been prevented.

In December, we wrote to you seeking reassurance that PHMSA has emergency containment plans for Enbridge Line 5 at the bottom of Lakes Michigan and Huron, given the increase in transport capacity of that line to 22.1 million gallons per day. The Line 5 system is over 60 years old, putting it at higher risk of failure, and runs beneath the Straits of Mackinac, a high consequence area. Your response was not reassuring.

Enbridge is currently expanding its pipeline system in North America, increasing transport capacity by over 850,000 barrels per day. Industry growth calls for stronger, more coordinated oversight that incorporates approved state inspection programs and the most advanced technology to improve leak detection.

We urge you to follow recommendations from DOT to ensure the highest level of safety standards is met. We look forward to your prompt response outlining how you plan to improve oversight and policy guidelines to increase pipeline safety.


Sincerely,

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