New US pipeline safety report finds more problems with Enbridge, problems also found in other big pipeline companies

Leak detection report coverA new draft report for the U.S. Congress from the United States Pipeline and Hazardous Materials Safety Administration takes new aim at Enbridge for failures in its pipeline leak detection and response system.

Not that the PHMSA is singling out Enbridge, the report is highly critical of leak detection systems on all petroleum and natural gas pipeline companies, saying as far as the United States is concerned, the current pipeline standards are inadequate.

The release of the “Leak Detection Report” written by Kiefner & Associates, Inc (KAI) a consulting firm based in Worthington, Ohio, comes at a critical time, just as Enbridge was defending how it detects pipeline leaks before the Joint Review Panel questioning hearings in Prince George, where today Enbridge executives were under cross-examination by lawyers for the province of British Columbia on how the leak detection system works.

In testimony on Wednesday, October 12, Enbridge engineers told the Joint Review Panel that the company’s pipelines are world-class and have a many prevention and detection systems.

Northern Gateway president John Carruthers testifed there is no way to eliminate all the risks but the company was looking for the best way of balancing benefits against the risk.

However, the KAI report points out that so far, all pipeline company cost-benefit analysis is limited by a short term, one to five year point of view, rather than looking at the entire lifecycle of a pipeline.

Two Enbridge spills, one the well-known case in Marshall Michigan which saw bitumen go into the Kalamazoo River and a second in North Dakota, both in 2010, are at the top of the list in the study for PHMSA by the consulting firm.

On the Marshall, Michigan spill the KAI report goes over and adds to many of the criticisms of Enbridge in the National Transportation Safety Report in July which termed the company’s response like the “Keystone Kops.”

The second spill, in Neche, North Dakota, which, unlike the Marshall spill, has had little attention from the media, is perhaps equally damning, because while Enbridge’s detection systems worked in that case–the KAI report calls it a “text book shutdown”– there was still a spill of 158,928 gallons (601,607 litres) of crude oil, the sixth largest hazardous liquid release reported in the United States [between 2010 and 2012] because Enbridge “did not plan adequately for containment.”

(The KAI report also examines problems with natural gas pipelines, including one by TransCanada Northern Border line at Campbell, Wyoming in February 2011. Northwest Coast Energy News will report on the natural gas aspects of the report in a future posting.)

The highly technical, 270-page draft report was released on September 28, as Enbridge was still under heavy criticism from the US National Transportation Safety Board report on the Marshall, Michigan spill and was facing penalties from the PHMSA for both the Marshall spill and a second in Ohio.

Looking at overall pipeline problem detection, KAI says the two standard industry pipeline Leak Detection Systems or LDS didn’t work very well. Between 2010 and 2012, the report found that Computational Pipeline Monitoring or CPMs caught just 20 per cent of leaks. Another system, Supervisory Control and Data Acquisition or SCADAs caught 28 per cent.
Even within those acronym systems, the KAI report says major problem is a lack of industry standards. Different companies use different detector and computer systems, control room procedures and pipeline management.

The report also concludes that the pipeline industry as a whole depends far too much on internal detectors, both for economic reasons and because that’s what the industry has always done. External detectors, the report says, have a better track record in alerting companies to spills.

A significant number of spills are also first reported by the public or first responders, rather than through the pipeline company system and as KAI says of Enbridge, “Operators should not rely on the public to tell them a pipeline has ruptured.”

The consultants also say there are far too many false alarms in spill detection systems.

Although the KAI report concentrates on the United States, its report on Enbridge does raise serious questions about how the company could detect a pipeline breach or spill in the rugged northern British Columbia wilderness where the Northern Gateway Pipeline would be built, if approved by the federal government.

The report comes after the United States Congress passed The Pipeline Safety, Regulatory Certainty, and Job Creation Act, which was signed into law by President Barack Obama on January 3, 2012. The law called on a new leak detection study to be submitted to Congress that examines the technical limitations of current leak detection systems, including the ability of the systems to detect ruptures and small leaks that are ongoing or intermittent. The act also calls on the US Department of Transportation to find out what can be done to foster development of better technologies and economically feasible ways of detecting pipeline leaks. The final report must be submitted to Congress by January 3, 2013.

(The draft report does note in some ways, Canadian standards for detecting pipeline leaks are better than those in the United States. For example, Canada requires some pipeline testing every year, the United States every five years. It also finds European pipeline monitoring regulations also surpass those in the United States).

The spills studied in the report all found weaknesses in one or more of those three areas: people, company procedures and the technology. It appears that the industry agrees, at least in principle, with executives telling the consultants:

The main identified technology gaps – including those identified by operators – include: reduction or management of false alarms; applicable technical standards and certifications; and value / performance indicators that can be applied across technologies and pipelines.

The report echoes many of the findings of the US National Transportation Safety Board in its examination of the Enbridge Marshall, Michigan spill but it applies to all pipeline companies, noting:

Integration using procedures is optimal when it is recognized that alarms from the technology are rarely black-and-white or on/off situations. Rather, at a minimum, there is a sequence: leak occurrence; followed by first detection; followed by validation or confirmation of a leak; followed by the initiation of a shutdown sequence. The length of time that this sequence should take depends on the reliability of the first detection and the severity of the consequences of the release. Procedures are critical to define this sequence carefully – with regard to the technology used, the personnel involved and the consequences – and carefully trained Personnel are needed who understand the overall system, including technologies and procedures.

We note that there is perhaps an over-emphasis of technology in LDS. A recurring theme is that of false alarms. The implication is that an LDS is expected to perform as an elementary industrial automation alarm, with an on/off state and six-sigma reliability. Any alarm that does not correspond to an actual leak is, with this thinking, an indicator of a failure of the LDS system.

Instead, multiple technical studies confirm that far more thought is required in dealing with leak alarms. Most technologies infer the potential presence of a leak via a secondary physical effect, for example an abnormal pressure or a material imbalance. These can often be due to multiple other causes apart from a leak.

The report takes a critical look at the culture of all pipeline companies which divides problems into leaks, ruptures and small seeps. Under both pipeline practice and the the way problems are reported to the PHMSA in the US a “rupture is a situation where the pipeline becomes inoperable.” While a rupture means that a greater volume of petroleum liquid or natural gas is released, and is a higher priority than a leak or seep, the use of language may mean that there is a lower priority given to those leaks and seeps than the crisis created by a rupture.

(Environmental groups in British Columbia have voiced concerns about the cumulative affect of small seeps from the Enbridge Northern Gateway that would be undetectable under heavy snow pack either by an internal system or by external observation)

Overall, the report finds serious flaws to the way pipeline companies are conducting leak detection systems at the moment, including:

  • Precisely the same technology, applied to two different pipelines, can have very different results.
  • Leak Detection Systems do not have performance measures that can be used universally across all pipelines. Compounding the problem are different computer systems where software, program configuration and parameter selection all contribute, in unpredictable ways, to overall performance.
  • Many performance measures present conflicting objectives. For example, leak detection systems that are highly sensitive to small amounts of lost hydrocarbons are also prone to generating more false alarms.
  • The performance of a leak detection system depends critically on the quality of the engineering design, care with installation, continuing maintenance and periodic testing.
  • Even though an internal technology may rely upon simple, basic principles, it is in fact, complex system that requires robust metering, robust SCADA and telecommunications, and a robust computer to perform the calculations. Each of these subsystems is individually complex.
  • Near the inlet and the outlet of the pipeline a leak leads to little or no change in pressure. Flow rates and pressures near any form of pumping or compression will generally be insensitive to a downstream leak
  • Differences in any one of these factors can have a dramatic impact on the ultimate value of a leak detection system.

The report goes on to  say:

There is no technical reason why several different leak detection methods can not be implemented at the same time. In fact, a basic engineering robustness principle calls for at least two methods that rely on entirely separate physical principles.

The report strongly recommends that pipeline companies take a closer look at external leak detection systems. Even though the US Environmental Protection Agency began recommending the use of external detection as far back as 1988, the companies have resisted due to the cost of retrofitting the legacy pipeline network. (Of course if the pipeline companies had started retrofitting with external detectors in 1988 they would be now 24 years into the process).

KAI says:

  • External leak detection is both very simple – relying upon routinely installed external sensors that rely upon at most seven physical principles – and also confusing, since there is a wide range of packaging, installation options, and operational choices to be considered.
  • External leak detection sensors depend critically on the engineering design of their deployment and their installation.
  • External sensors have the potential to deliver sensitivity and time to detection far ahead of any internal system.
  • Most technologies can be retrofitted to existing pipelines. In general, the resistance to adopting external technologies is, nevertheless, that fieldwork on a legacy pipeline is relatively expensive.
  • The report goes on to identify major bureaucratic roadblocks within pipeline companies. Like many other big corporations, walls exist that prevent the system from working well
  • A particular organizational difficulty with leak detection is identifying who “owns” the leak detection system on a pipeline. A technical manager or engineer in charge is typically appointed, but is rarely empowered with global budgetary, manpower or strategic responsibilities. Actual ownership of this business area falls variously to metering, instrumentation and control, or IT.

The report calls for better internal standards at pipeline companies since with leak detection “one size does not necessarily fit all”.

It also notes that “flow metering is usually a central part of most internal leak detection systems,” but adds “flow meter calibration is by far the most laborious part of an internal system’s maintenance.

Also, the central computer and software technology usually has maintenance requirements far greater than most industrial automation and need special attention.”

While a company may do a cost benefit analysis of its leak detection system and risk reduction system it will generally emphasize the costs of the performance and engineering design of the leak detection system, the companies usually place less emphasis on the benefits of a robust system, especially the long term benefits.

At present the pipeline companies look at the benefit of leak detection as a reduction in risk exposure, or asset liability, “a hard, economic definition… understood by investors.” But the report adds that leak detection systems have a very long lifetime and over that life cycle, the cost-benefit approaches the reduction in asset liability caused by the system, when divided by annual operational costs. However, since pipeline companies budget on a one to five year system the long term benefit of robust, and possibly expensive spill detection is not immediately apparent.

Enbridge

The consultants studied 11 US oil spills, the top two with the greatest volume were from Enbridge pipelines. The others were from TE Products Pipeline, Dixie Pipeline, Sunoco, ExxonMobil, Shell, Amoco, Enterprise Products, Chevron and Magellan Pipeline. Not all US spills were used in the KAI report, the 11 were chosen for availability of data and documentation.

The largest spill in the KAI study was the pipeline rupture in Michigan at 843,444 gallon (3,158,714 litres) which has been the subject of continuing media, investigative and regulatory scrutiny. The second spill in North Dakota, has up to now received very little attention from the media. That will likely change once the US Congress gets the final report. Even though the Neche, North Dakota spill, has been described as “text book case” of a pipeline shutdown, there was still a large volume of oil released.

Marshall, Michigan spill

On the Marshall, Michigan spill that sent bitumen into the Kalamazoo River the report first goes over the facts of the 843,444 gallon spill and the subsequent release of a highly critical report from the US National Transportation Safety Board. It then looks at the failures of Enbridge’s detection system from the point of view mandated for the report to Congress:

The pipeline was shutting down when the ruptured occurred. Documentation indicates that a SCADA alarm did sound coincident with the most likely time of the rupture. It was dismissed. The line was shut down for around 10 hrs and crude oil would have drained from the line during this time.

On pipeline start up, alarms in the control room for the ruptured pipeline sounded. They were dismissed. This was repeated two more times. The pipeline was shut down when the control room was notified of the discharge of the crude oil by a member of the public. The time to shut down the pipeline is not relevant here because of the 17 hours that elapsed after the rupture occurred.

The review identified issues at Enbridge relevant to this Leak Detection Study:

1. Instrumentation on a pipeline that informs a controller what is happening to the pipeline must be definitive in all situations.
2. However, the instrumentation did provide warnings which went unheeded by controllers.
3. Instrumentation could be used to prevent a pump start up.
4. Operators should not rely on the public to tell them when a pipeline has ruptured.
5. Pipeline controllers need to be fully conversant with instrumentation response to different operations performed on the pipeline.
6. If alarms can be cancelled there is something wrong with the instrumentation feedback loop to the controller. This is akin to the low fuel warning on a car being turned off and ignored. The pipeline controller is part of an LDS and failure by a controller means the LDS has failed even if the instrumentation is providing correct alarms.
7. If the first SCADA alarm had been investigated, up to 10 hours of pipeline drainage to the environment might have been avoided. If the second alarm had been investigated, up to 7 hours of pumping oil at almost full capacity into the environment might have been avoided.
8. CPM systems are often either ignored or run at much higher tolerances during pipeline start ups and shutdowns, so it is probable that the CPM was inoperative or unreliable. SCADA alarms, on the other hand, should apply under most operating conditions.

Neche, North Dakota spill

At approximately 11:37 pm. local time, on January 8, 2010, a rupture occurred on Enbridge’s Line 2, resulting in the release of approximately 3000 barrels or 158,928 gallons of crude oil approximately 1.5 miles northeast of the town of Neche, North Dakota, creating the sixth largest spill in the US during the study period.

As the report notes, in this case, Enbridge’s detection system worked:

At 11:38 pm., a low-suction alarm initiated an emergency station cascade shutdown. At 11:40 pm., the Gretna station valve began closing. At 11:44 pm., the Gretna station was isolated. At 11:49 pm., Line 2 was fully isolated from the Gretna to Donaldson pump stations.

Documentation indicates a rapid shut down on a low suction alarm by the pipeline controller. From rupture to shut down is recorded as taking 4 minutes. The length of pipeline isolated by upstream and downstream remotely controlled valves was 220,862 feet. The inventory for this length of line of 26-inch diameter is 799,497 gallons. The release amount was around 20 per cent of the isolated inventory when the pipeline was shut down.

The orientation of the 50-inch long rupture in the pipe seam is not known. The terrain and elevation of the pipeline is not known. The operator took around 2 hours and 40 minutes to arrive on site. It is surmised that the rupture orientation and local terrain along with the very quick reactions by the pipeline controller may have contributed to the loss of around 20 per cent of the isolated inventory.

The controller was alerted by the SCADA. Although a CPM system was functional the time of the incident it did not play a part in detecting the release event. It did provide confirmation.

But the KAI review identified a number of issues, including the fact in item (7) Enbridge did not plan for for containment and that containment systems were “under-designed.”

1. This release is documented as a text book shut down of a pipeline based on a SCADA alarm.
2. The LDS did not play a part in alerting the pipeline controller according to
documentation. However, leak detection using Flow/Pressure Monitoring via SCADA
worked well.
3. Although a textbook shut down in 4 minutes is recorded, a large release volume still occurred.
4. The release volume of 158,928 gallons of crude oil is the sixth largest hazardous liquid release reported between January 1, 2010 and July 7, 2012.
5. The length of pipeline between upstream and downstream isolation valves is long at 41.8 miles.
6. If not already performed, the operator should review potential release volumes based on ruptures taking place at different locations on the isolated section.
7. The success of a leak detection system includes planning for the entire process: detection through shutdown through containment. In this case, the operator did not plan adequately for containment so that although the SCADA leak detection technology, the controller and the procedures worked well, the containment systems (isolation valves) were under-designed and placed to allow a very large spill.”

 

 

 KAI Draft report on Leak Detection Systems at the Pipeline and Hazardous Materials Safety Administration website

 

US pipeline agency slams Enbridge, calls for independent oversight of Wisconsin cleanup

The US agency that looks after pipelines, the Pipeline and Hazardous Materials Safety Administration, has issued an updated “Corrective Action Order” on the oil spill at Grand Marsh in Wisconsin, slamming Enbridge because the company’s “integrity management program may be inadequate.”

The order goes on to say:

PHMSA has communicated its longstanding concerns about this pattern of failures with Respondent [Enbridge] over the past several years. Given the nature, circumstances, and gravity ofthis pattern of accidents, additional corrective measures are warranted.

The Corrective Order tells Enbridge to file its cleanup plans with the PHMSA and to have its actions checked by an independent, outside agency.

Before the PHMSA allows Enbridge to restart Line 14, which runs from Superior, Wisconsin, to Mokena, Illinois, and is a part of the 1,900 mile-long Lakehead Pipeline system, which transports “hazardous liquid” from Neche, North Dakota, to Chicago, Illinois, with an extension to Buffalo,

Enbridge must (1) submit, for review and approval, a comprehensive written plan, including timelines for specific actions to improve the safety record of Respondent’s Lakehead pipeline system and (2) hire an independent third party pipeline expert to review and assess the written plan, which the third party will submit to PHMSA and to Respondent concurrently. Further, the third party expert must oversee the creation, execution and implementation of the actions identified in the plan, and must provide monitoring summaries to PHMSA and Respondent concurrently. Respondent must commit to address any deficiencies or risks identified in the third party’s assessment, including repair and replacement of high-risk infrastructure. The plan must be sufficiently detailed with specific tasks, milestones and completion dates.

At a minimum, the plan must address:
a. Organizational issues, including the promotion of a safety culture and creation of
a safety management system;
b. Facilities response plan;
c.Control room management;
d.Priorities for pipe replacement;
e.Training;
f.In-line inspection result interpretation;
g.Current engineering and probability of failure modeling;
h.Leak detection systems;
1.Sensor and flow measuring and valve replacement;
J.Integrity verification;
k.Quality management system; and
1.Any other risk, task, issue or item that is necessary to promote and sustain the
safety ofits pipeline system.

The agency notes also that

After receiving and analyzing additional data in the course of this investigation, PHMSA may identify other corrective actions that need to be taken. In that event, Respondent will be notified of any additional measures required and further amendment of the CAO will be considered. To the extent consistent with safety.

The order says Enbridge will be given an opportunity for a hearing prior to the imposition of any additional corrective measures.

The PHMSA  Corrective Order was issued about the same time as Canada’s National Energy Board announced that it was conducting its own safety audit of Enbridge operations.

PHMSA Amended Corrective Action Order_08012012

BC’s background information on conditions for pipeline projects

Here is the background information on the BC provincial government’s policy on pipeline projects, as released July 23, by the government:

Related: BC’s desire for “world leading” marine standards collides with Harper’s C38 chain saw massacre

BACKGROUNDER 1

World-leading marine spill preparedness and response systems for British Columbia

Protecting the province’s environment is a priority for its citizens and the B.C. government. While B.C. is not the government lead in terms of responding to a marine spill, advocating for world-class protection measures and procedures is a B.C. priority. Guided by an analysis of international marine response plans and procedures, the B.C. government is moving forward with 11 recommendations to the federal government aimed at improving Ottawa’s marine spill management. Chief among those recommendations are:

Encourage the federal government to strengthen requirements for certified marine spill response organizations.

Current response times and planning capacity are less stringent than other jurisdictions like Alaska and Norway. For example, for the types of tankers being proposed for Canada’s west coast, Alaska requires planning for 300,000 barrels. In Canada, response organizations are only required to maintain response plans for spills up to approximately 70,000 barrels (10,000 tonnes).

Further, Alaska allows responders 72 hours to reach the spill site, while Canada allows 72 hours plus travel time, which can sometimes add days to the response.

Encourage the federal government to enhance tanker requirements and available response capacity.

In shared bodies of water, the United States’ requirements exceed Canada’s. For example, the United States requires escort tugs for laden tankers and mandates industry pay for designated and strategically placed emergency response tugs. Canada does not have any similar requirements.

Ensure the Canadian Coast Guard adopts a unified command/incident command structure.

The Canadian Coast Guard has a unique response system which is only used in B.C. The United States, companies and governments worldwide use a unified command/incident command response structure for a range of emergency responses, including marine spills. By bringing the Coast Guard under this system, an effective, co-ordinated response is better ensured while reducing layers of approvals that can delay critical, prompt decision-making.

Current limits of liability rules strengthened to reduce government and public exposure to financial risk.

The federal government should review its rules and requirements to ensure industry-funded response funds are sustainable and adequate to fully cover a major response without requiring public money. Currently, the total amount of ship owner insurance and industry funding available for spill response is $1.3 billion. By comparison, the U.S. federal government maintains a spill fund that is forecast to grow to nearly $4 billion by 2016.

BACKGROUNDER 2

World-Leading on-land spill preparedness and response system for British Columbia

Land-based spill response is an area where the province has significant management responsibilities. The safe transportation and use of hazardous materials – including oil and natural gas – is critical to British Columbia’s economy and way of life. While land-based spills can be mitigated, they cannot be completely avoided; they are a consequence of a modern economy.

Major resource developments in the province’s northeast, coupled with proposals to open new, and expand existing, transportation corridors for petrochemicals, makes it timely for the province to consider its spill management capacity.

B.C. government’s proposed policy:

A provincial policy review has confirmed support for the “polluter pays” principle. In other words, those sectors (i.e. the oil and gas industry) that pose the risk must be responsible for all related mitigation and response costs.

Ministry of Environment staff are in the process of reviewing options to implement industry-funded and enhanced spill-management for land-based operations. It has three central elements:

An industry-funded terrestrial spill response organization.
An enhanced provincial Environment Emergency Program.
Natural resources damages assessment.
These changes would address some key issues facing B.C.’s land-based spill response practice, including new requirements for:

industry to have tested and government-approved geographic response plans; and
provincial response capacity that matches the known risk, including staff and resources to address spills.
The proposed policy would strengthen the province’s oversight role and facilitate the verification of industry capacity. Further, it would ensure that a stable source of funding is available to ensure the program continues to have a strong presence on-scene when a spill occurs. This role for government is critical to protecting the provincial economic, social and environmental interests that can be impacted when a spill takes place.

Next steps:

Immediately strike a terrestrial spill response working group.
Engagement with key industry associations and federal agencies.
Complete in-depth technical analysis of policy and options.
Public consultation on policy intentions paper.
Draft legislation based on the chosen policy direction.
Media Contact:

 

BACKGROUNDER 3

Consultation and partnerships with First Nations

In British Columbia, case law requires the B.C. government to consult with First Nations on any decision that may infringe on their treaty or Aboriginal rights. Where government makes a decision that will infringe on rights, there is a legal duty called “accommodation,” which can include mitigation measures, or even economic compensation. These legal requirements impact resource development and government decision-making.

Consultation is not only a legal obligation, it is part of good governance, and the B.C. government takes consultation and the courts’ direction on consultation very seriously.

B.C.’s approach is to work in partnership to give First Nations a meaningful role in land and resource management. B.C. is also the first province to share resource development revenue with First Nations, creating opportunities that flow benefits directly back into Aboriginal communities. B.C. has reached a suite of strategic agreements that create certainty for First Nations and industry by making it easier for business and First Nations to work together.

B.C. has achieved nine Reconciliation and Strategic Engagement Agreements with First Nations. These agreements provide First Nations with a defined role in the management of lands and resources and often include tools to allow for increased First Nation participation in local economies.
B.C. has 189 active forestry revenue-sharing agreements with First Nations. Since 2003, B.C. has provided approximately $323 million and access to 63.9 million cubic metres of timber to First Nations.
B.C. signed mine revenue-sharing agreements with Nak’azdli First Nation and McLeod Lake Indian Band for the Mount Milligan Mine and the Tk’emlúps and Skeetchestn Indian bands for the New Afton Mine. Further agreements are being negotiated.
Economic Benefit Agreements with five Treaty 8 First Nations have provided $52 million to date in First Nation benefits from gas and other development in northeast B.C.
The First Nations Clean Energy Business Fund provides capacity, equity and revenue-sharing funding for First Nation participation in this sector. Since 2010, the fund has provided nearly $2.5 million to 53 First Nations.
The B.C. government has collaborated with the Business Council of British Columbia to develop the best practices to increase general understanding of industry’s role. Increasingly, companies recognize that building relationships with First Nations makes good business sense, and are taking steps to form effective relationships that result in mutual benefits.

B.C. expects proponents to build strong, enduring relationships with First Nations potentially affected by development projects. Through those relationships, there should be discussion of possible impacts on Aboriginal interests, measures in place that would mitigate those impacts and a development of impact management and benefit agreements.

 

BACKGROUNDER 4

Fiscal benefits imbalance: Northern Gateway Pipeline

The Northern Gateway Pipeline is forecast to provide significant benefits to governments, communities and individuals through taxation and royalty revenues, employment and indirect and induced jobs.

According to a research report by Wright Mansell Research Ltd., the pipeline is likely to generate an incremental $81 billion in provincial and federal government taxation over a 30 year period between 2016 and 2046. Of the $81 billion, a full $36 billion is accrued by the federal government.

The remaining $45 billion in provincial revenues are split with $32 billion to Alberta, $6.7 billion to British Columbia and the remaining $6 billion split among the remaining provinces, with Saskatchewan appearing to benefit by nearly $4 billion. Thus, of the $81 billion in incremental taxation revenue, British Columbia stands to receive approximately only 8.2 per cent.

The $36 billion to the federal government is anticipated to be distributed across the country on a per capita basis as these revenues would be considered to be general and not dedicated revenues. There is no guarantee these revenues would be distributed in this manner.

In addition, with the creation of a new market for Alberta oil in Asia, prices are forecast to rise such that over the same 2016-46 period, there would be a price lift of $107 billion, split $103 billion to Alberta and $4 billion to Saskatchewan, which has begun to exploit its heavy oil and bitumen resources. This lift arises from an all increased value of all oil products that are being exported out of Canada with the elimination of the discount paid for Canadian oil.

Given the risk to British Columbia from land-based and coastal bitumen spills, British Columbia does not believe an equitable distribution exists for fiscal benefits. This imbalance must be addressed prior to British Columbia considering provincial support.

 

Enbridge files thousands of pages in document dump reply evidence to Northern Gateway JRP

Enbridge Northern Gateway has filed thousands of pages of “reply evidence” to the Northern Gateway Joint Review panel, responding to questions from the panel, from government participants like DFO, and intervenors.

Enbridge also used the filing to issue a news release saying it is adding $500 million in new safety features for its pipeline plans.

Northern Gateway Pipelines Reply_Evidence_  (summary of filings PDF)

Link to 43 item  reply filing on JRP website.

In the introduction to the summary of the evidence the JRP asks

Should the fact that Northern Gateway does not respond to all points in a particular intervenor’s evidence or to all intervenor evidence be taken as acceptance by
Northern Gateway of any of the positions of intervenors?

To which Enbridge replies:

No. Northern Gateway does not accept any of the intervenor positions that are contrary tothe Application or additional material filed by Northern Gateway. Some of those  positions will be dealt with by Northern Gateway in cross examination and argument rather than reply evidence, and others will simply be left to the JRP to determine on the basis of the filed evidence alone.

Related: Vancouver Sun: Christy Clark toughens pipeline stance as Enbridge announces safety upgrades

 

The reply covers a multitude of topics including

  • Economic Need and the Public Interest
  • Engineering
  • Avalanche Risk and Groundwater Concerns
  • Corrosivity of Diluted Bitumen
  • Improvements Since the Marshall Incident
  • Geotechnical Concerns
  • Geohazards Issues
  • Seismic Design Concerns
  • Recovery of Biophysical and Human Environment from Oil Spills
  • Corrosion, Inspection and Maintenance of Oil Tankers
  • Design and Construction of Oil Tankers
  • Pilotage

In response to numerous questions about the Marshall, Michigan, oil spill, Enbridge repeats what it said in an e-mail to “community leaders” earlier this week and in this morning’s news release, saying: “Enbridge has made a number of improvements since the Marshall incident.”

As part of the filing Enbridge has also filed an update on its aboriginal engagement program.

There are also detailed and updated reports on the company’s plans for the Kitimat valley region.

Enbridge files massive river oil spill study with the Joint Review Panel

Kitimat River map from Enbridge study
A Google Earth satellite map of the Kitimat River used as part of Enbridge Northern Gateway’s oil spill modelling study.

Enbridge Northern Gateway today filed a massive 11-volume study with the Joint Review Panel outlining possible scenarios for oil spills along the route including the Kitimat and Morice Rivers in British Columbia.

The study, carried out by three consulting firms, Stantec Consuting and AMEC Environmental & Infrastructure both of Calgary and RPS ASA of Rhode Island, is called “Ecological and Human Health Assessment for Pipeline spills.”

Overall the models created by study appear to be extremely optimistic, especially in light of recent events, such as the damning report on by the US
National Transportation Safety Board and the finding of violations by the US Pipeline and Hazardous Material Safety Administration with Enbridge operations during the 2010 Marshall, Michigan, spill and subsequent cleanup difficulties encountered by Enbridge.

The executive summary of the report begins by saying

This document presents conservatively developed assessments of the acute and chronic risk to ecological and human receptors in the unlikely event of a full bore pipeline break on the proposed Enbridge Northern Gateway Pipeline project. Three representative hydrocarbon types (condensate, synthetic oil
and diluted bitumen) were evaluated with releases occurring to four different rivers representing a range of hydrological and geographic characteristics, under both low-flow and high-flow conditions. The analysis indicates that that the potential environmental effects on ecological and human health from each hydrocarbon release scenario could be adverse and may be significant. However, the probability of the releases as considered in the assessment (i.e., full bore rupture, with no containment or oil recovery) is low, with return periods for high consequence watercourses ranging from 2,200 to 24,000 years. Therefore, the significant adverse environmental effects as described in this report are not likely to occur.

So the study says that it is “conservative” that means optimistic, that a full bore pipelink break with no containment or recovery is “an unlikely event” and would probably occur every 2,200 and 24,000 years. Not bad for a pipeline project that is supposed to be operational for just 50 years.

The summary does caution:

The analysis has also shown that the outcomes are highly variable and are subject to a great many factors including the location of the spill, whether the hydrocarbons are released to land or directly to a watercourse, the size of the watercourse, slope and flow volumes, river bed substrate, the amount of suspended particulate in the water, environmental conditions (such as the time of year, temperature and wind speeds, precipitation, etc.), the types of shoreline soils and vegetative cover and most significantly, the type and volume of hydrocarbon released.

The highly technical study is Enbridge’s official response to those intervenors who have “requested additional ecological and human health risk assessment studies pertaining to pipeline spills” and a request from the Joint Review Panle for more information about “the long term effects of pipeline oil spills on aquatic organisms (including the sensitivity of the early life stages of the various salmon species), wildlife, and human health.”

The report presents modelling on the release of three hydrocarbons, diluted bitumen, synthetic oil and condensate at four river locations along the pipeline route for their potential ecological and human health effects, under two flow regimes (i.e., high and low flow), broadly representing summer and winter conditions.

Modelling was done for four areas:

• Chickadee Creek: a low gradient interior river tributary discharging to a large river system
located up-gradient from a populated centre within the Southern Alberta Uplands region
• Crooked River: a low gradient interior river with wetlands, entering a lake system within
the Interior Plateau Region of British Columbia
• Morice River: a high gradient river system along the western boundary of the Interior
Plateau Region of British Columbia
• Kitimat River near Hunter Creek: a high gradient coastal tributary discharging to a large
watercourse with sensitive fisheries resources, downstream human occupation, and discharging to the Kitimat River estuary

In one way, the study also appears to be a partial victory for the Kitimat group Douglas Channel Watch because the model for the Kitimat River is based on a spill at Hunter Creek, which has been the subject of extensive work by the environmental group, but the consulting study is markedly optimistic compared to the scenario painted by Douglas Channel Watch in its presentations to District of Kitimat council.

The study describes the Kitimat River:

The hypothetical release location near Hunter Creek is southwest of Mount Nimbus, in the upper Kitimat  River watershed, and flows into Kitimat River, then Kitimat Arm, approximately 65 km downstream. The area is in a remote location and maintains high wildlife and fisheries values. The pipeline crossing near Hunter Creek is expected to be a horizontal direction drilling (HDD) crossing. The release scenario
assumes a discharge directly into Kitimat River…

The streambed and banks are composed of coarse gravel, cobbles and boulders. Shoreline vegetation (scattered grasses and shrubs) occurs in the channel along the tops of bars. Vegetation is scattered on the channel banks below the seasonal high water mark and more developed (i.e., grasses, shrubs and trees) bove the seasonal high water mark.

Wildlife and fish values for the Kitimat River are high: it is important for salmon stocks, which also provide important forage for grizzly bears, bald eagles and osprey on the central coast. The Kitimat River estuary, at the north end of Kitimat Arm, also provides year-round habitat for some waterbirds and seasonal habitat for staging waterfowl.

There is considerable recreational fishing, both by local people and through fishing guides, on Kitimat River, its estuary and in Kitimat Arm. There is also likely to be a high amount of non-consumptive recreational activity in the area, including wildlife viewing, hiking and camping. The Kitimat River estuary, for example, is well known for waterbird viewing.

While no fish were captured at this location during the habitat survey, salmonoid fry and coho salmon were observed downstream. Previously recorded fish species in the area include chinook, coho and chum salmon, rainbow trout, Dolly Varden, and steelhead trout.

However, the next paragraph appears to show that a full bore rupture on the Kitimat River would have widespread consequences because it would cover a vast area of First Nations traditional territory, saying

Aboriginal groups with traditional territories within the vicinity of the Kitimat River hypothetical spill scenario site include the Haisla Nation, Kitselas First Nation, Kitsumkalum First Nation, Lax-Kw’alaams First Nation and Metlakatla First Nation.

It also acknowledges:

Oral testimony provided by Gitga’at First Nation and Gitxaala Nation was also reviewed in relation to this hypothetical spill scenario, although the traditional territories of these nations are well-removed from the hypothetical spill site.

The report then goes on to list “the continued importance of traditional resources” for the aboriginal people of northwestern BC.

especially marine resources. People hunt, fish, trap and gather foods and plants throughout the area and traditional foods are central to feasting and ceremonial systems. Food is often distributed to Elders or others in the community. Written evidence and oral testimony reported that Coho, sockeye, pink, and spring salmon remain staples for community members. Halibut, eulachon, herring and herring roe,
various species of cod, shellfish, seaweed, and other marine life are also regularly harvested and consumed, as are terrestrial resources, including moose, deer, beaver, muskrat and marten. Eulachon remains an important trade item. Written evidence provides some information on seasonality of use and modes of preparation. Seaweed is dried, packed and bundled and preserved for later use. Each species of
salmon has its own season and salmon and other fish are prepared by drying, smoking, freezing or canning. Salmon are highly valued and often distributed throughout the community…

Some areas used traditionally are not depicted geographically. Upper Kitimat River from the Wedeene River to the headwaters has long been used for trapping, hunting, fishing and gathering of various foods. Fishing, hunting and gathering activities take place along the lower Kitimat River and its tributaries. Marine resources are collected in Kitimat Arm, Douglas Channel, and Gardner Canal. Old village and
harvesting sites are located along the rivers and ocean channels in this vicinity.

Intertidal areas are important and highly sensitive harvesting sites that support a diversity of species. Many intertidal sites are already over harvested and are therefore vulnerable. Conservation of abalone has been undertaken to help the species recover. Some concern was expressed in oral testimony regarding the
potential for archaeological sites and the lack of site inventory in the area. Oral testimony made reference to the Queen of the North sinking and the potential for a similar accident to result in human health and environmental effects.

A spill at Hunter Creek

The model says that all three types of floating oil in Kitimat River under high-flow conditions would reach approximately 40 kilometres downstream from Hunter Creek while low-flow conditions showed variation.

Under what the study calls low flow conditions, most condensate would evaporate. The bitumen would cause “heavy shore-oiling” for the first 10 kilometres, with some oiling up to 40 kilometres downstream.

The most sedimentation would occur for synthetic oil, and the least for condensate. Synthetic oil under both flow conditions would have the largest amounts deposited to the sediments. This is because of the low viscosity of synthetic oil, which allows it to be readily entrained into the water where it may combine with suspended sediments and subsequently settle. Synthetic oil under high-flow conditions would result in the most entrained oil and so the most extensive deposition to the sediment. Diluted bitumen, for both flow conditions, would result in the most deposited on shorelines, with the remainder (except that which evaporated or degraded) depositing to the sediments.
The condensate also would also have significant entrainment, but higher winds prevailing in under low flow conditions would enhance evaporation and rapidly lower concentrations in the water as compared to high-flow conditions. In all scenarios, a large amount of entrained oil and high concentrations of dissolved aromatics would move down the entire stretch of Kitimat River and into Kitimat River estuary.

Long term scenario

The modelling appears to be extremely optimistic when it reaches four to six weeks after the pipeline breach, especially in light of the continued cleanup efforts in Michigan, estimating that the “fast-flowing” nature of the Kitimat River would disipate all the different forms of hydrocarbon in the study saying

 a fast-flowing coastal river like Kitimat River, with gravel or cobble bottom would be affected by a large volume of crude oil released in a short period of time.

Oiling of shoreline soils is heavy in the reaches between the release point and 10 km downstream, becoming lighter to negligible beyond 10 km. Deposition of hydrocarbons to river sediment is greatest for the synthetic oil and diluted bitumen (high flow) scenarios extending up to 40 kilometres downriver, with predicted hydrocarbon concentrations in sediment approaching 1,000 mg/kg dry weight. Deposition of hydrocarbons to river sediment is considerably lighter for the diluted bitumen (low flow) and condensate scenarios. In these scenarios, oiling of river sediment is negligible….

It says that within four weeks of the end of the acute phase of the spill scenarios, concentrations in river sediments and river water would decline becoming quite low at the end of two years.

As for the affects on plants and invertebrates:

Oiling of shorelines would be extensive, particularly at assessment locations within 10 kilometres of the pipeline break location, under both the high and low flow scenarios, for synthetic oil and condensate. High loadings occur as far as 25 kilometres downstream, again asusming that damage would begin to disipate after four weeks declining over the next one to two years. Predicted effects are generally less severe for the diluted bitumen spill scenarios, due to lower expected loading of oil onto shorelines. Low to negligible shoreline oiling would occur for Kitimat River under most of the scenarios at the 40 kilometres assessment location and points downstream. Based on this assessment, very little oiling of shorelines would extend to the estuary and the environmental effects would be minimal.

The study goes on to say that the “model suggests that there would be no significant risk to fish health based upon chronic exposure to petroleum hydrocarbons  for the oil spill scenarios in Kitimat River or the potentially affected areas within the estuary, either at four weeks or one to two years following the hypothetical spill events. Risk to developing fish eggs in Kitimat River and estuary at four weeks and one to two years again indicate no significant risk to developing fish eggs in spawning gravels.”

It also claims that “chronic risks” to wildlife would be minimal, with some elevated risk for “muskrat, belted kingfisher, mallard duck, spotted sandpiper and tree swallow,” if they were exposed to synthetic oil. The muskrat, mallard duck and spotted sandpiper
could be vulnerable to bitumen and diluted bitumen.

It then claims that “no significant effects of chronic exposure (to all hydrocarbons) would occur for grizzly bear, mink, moose, river otter, bald eagle, Canada goose, herring gull or great blue heron for the Kitimat River hydrocarbon spill scenarios.”

Again, it appears from the sutdy that the spotted sandpiper would be most vulnerable to “bulk weathered crude oil exposure” includingcondensate, diluted bitumen and synthetic oil.

For the Kitimat section it concludes:

In the unlikely event of an oil spill, recovery and mitigation as well as the physical
disturbance of habitat along the watercourse would be likely to substantially reduce the exposure of wildlife receptors to hydrocarbons as compared to the scenarios evaluated here.

Link to Volume One of the Enbridge Northern Gateway Report Ecological and Human Health Assessment for Pipeline Spills

Haisla outline conditions, concerns for Northern Gateway project

Haisla NationIn its extensive document filed with the Northern Gateway Joint Review panel, the Haisla Nation emphasize their opposition to the project.

However, the Haisla are anticipating that the project will be approved and  therefore submitted a lengthy series of conditions for that project, should it be imposed on the northwest by the federal government.

Nevertheless, if the project were to be approved AFTER the Crown meaningfully consulted and accommodated the Haisla Nation with respect to the impacts of the proposed project on its aboriginal title and rights, and if that consultation were meaningful yet did not result in changes to the proposed project, the following conditions would, at a minimum, have to be attached to the project.

 

1. Conditions Precedent: The following conditions precedent should be met prior to any field investigations, pre-construction activities or construction activities as well as during and subsequent to such investigations or activities. These conditions are necessary to ensure that potential effects of the project can be avoided or mitigated to reduce the likelihood of habitat damage or destruction:

Comprehensive seasonal water quality monitoring throughout the Kitimat River watershed, Kitimat Arm and Douglas Channel that account for seasonal variations in flow, tidal cycles, snowmelt, rainfall, etc.

Parameters for measurement would be have to be agreed upon by the
Haisla Nation prior to certification of the project;

Comprehensive seasonal fisheries surveys of fish habitat utilization  throughout the Kitimat River watershed, Kitimat Arm and Douglas Channel that account for where species and life stages are at different times of the year and accurately define sensitive habitats;

Comprehensive seasonal wildlife and bird surveys of habitat utilization throughout the Kitimat River watershed, Kitimat Arm and Douglas Channel that account for where species and life stages are at different times of the year and accurately define sensitive habitats;

Comprehensive seasonal vegetation surveys of habitat utilization throughout the Kitimat River watershed, Kitimat Arm and Douglas Channel that accounts for the distribution of species and life stages at different times of the year and accurately define sensitive habitats;

Development of comprehensive spill response capability based on a realistic assessment of spill containment, spill response and spill capacity requirements throughout the Kitimat River Valley, Kitmat Arm and Douglas Channel. The Haisla Nation’s past experience has shown that relying onpromises is not good enough. This spill response capability must be demonstrated prior to project approval;

Verification that the proposed project would result in real benefits, economic or otherwise, that would flow to the Haisla Nation, to other First Nations, and to British Columbia.

Whenever any field investigations or activities are proposed, the proposal or permit application would have to include the following environmental protections:

Soil and erosion control plans;

Surface water management and treatment plans;

Groundwater monitoring plans;

Control and storage plans for fuels, lubricants and other potential contaminants;

Equipment deployment, access and use plans;

Habitat reclamation of disturbed or cleared areas.

Prior to any pre-construction or construction activities the following detailed studies would have to be undertaken and provided to the Haisla Nation for review and approval, to ensure that the best design and construction approaches are being used, so that potential effects of the project can be avoided or mitigated to reduce the likelihood of habitat damage or destruction:

Detailed analysis of terrain stability and slide potential throughout the pipeline corridor and at the storage tank and terminal site;

Detailed engineering design to mitigate seismic risk and local weather extremes;

.Development of pipeline integrity specifications and procedures including
best practices for leak detection;

Development of storage tank integrity specifications and maintenance and monitoring procedures;

Assessment of spill containment, spill response and spill capacity requirements throughout the Kitimat River watershed, Kitimat Arm and Douglas Channel;

.Development of detailed tanker acceptance program specifications and
procedures;

Development of detailed tanker and tug traffic management specifications and procedures;

Development of detailed port management specifications and procedures including operating limits for tanker operation, movement and docking.

2. Ongoing Consultation: A commitment to ongoing consultation with and accommodation of the Haisla Nation on all of the activities set out above.

3. Ongoing process for variance, waiver or discharge of conditions: A commitment to ongoing meaningful involvement of the Haisla Nation by the National Energy Board prior to any decision on any changes to or sign off on conditions and commitments to any certificate that is issued.

4. Third Party Oversight of Construction: A requirement that NorthernGateway fund a third party oversight committee, which should include a Haisla Nation representative, to monitor certificate compliance during construction of the marine terminal and the pipeline. This committee would have the ability to monitor and inspect construction and should be provided with copies of allcompliance documents submitted by Northern Gateway to the National Energy Board.

5. Operational Conditions: A number of operational conditions should beincorporated into the certificate, including but not limited to:

The requirement to monitor terrain along the pipeline so that breaches based on earth movements can be anticipated and prevented;

The requirement to implement automatic pipeline shutdown whenever a leak detection alarm occurs;

Conditions on the disposal of any contamination that must be removed as a result of an accident or malfunction resulting in a spill that will minimize additional habitat destruction and maximize the potential for regeneration of habitat and resources damaged by the spill;

Parameters for terminal and tanker operations (including standards for tankers allowed to transport cargo; tanker inspection requirements and schedules; escort tug specifications, standards, maintenance and inspection; pilotage protocols and procedures; environmental conditions and operating limits; etc.) as well as other parameters set out in and reliedon for the TERMPOL review to become conditions of any certificate issued by the National Energy Board, with a provision that the Haisla Nation’s approval of any changes to these conditions is required.

Answering the questions from Enbridge Northern Gateway, the Haisla also outline a long series of concerns.

1. Physical and Jurisdictional Impacts

1.1 Construction

The Haisla Nation is concerned about the direct physical and jurisdictional impacts that the construction of the proposed project will have. These concerns are set out for each of the marine terminal, the pipeline, and tanker traffic, below:

Marine Terminal:

a. The proposed marine terminal will require the alienation of 220-275
hectares (554-680 acres) of land from Haisla Nation Territory, land
to which the Haisla Nation claims aboriginal title.

b. The terminal will require the additional alienation of land for
ancillary infrastructure and development, including:

i. road upgrades,

ii. perimeter access roads and roads within the terminal area,

iii. a potential public bypass road,

iv. an impoundment reservoir,

v. a disposal site for excess cut material outside the terminal
area,

vi. a new 10km long transmission powerline, and

vii. a 100-m waterlot with a 150-m “safety zone”.

c. The terminal proposes to use Haisla Nation aboriginal title land,
including foreshore and waters, in a way that is inconsistent with
Haisla Nation stewardship of its lands, waters and resources and
with the Haisla Nation’s own aspirations for the use of this land.
Since aboriginal title is a constitutionally protected right to use the
aboriginal title land for the purposes the Haisla Nation sees fit, this
adverse use would fundamentally infringe the aboriginal title of the
Haisla Nation.

d. The terminal will require the destruction and removal of
documented culturally modified trees, some with modifications
dating back to 1754. These culturally modified trees are living
monuments to the history of the Haisla people.

e. The terminal will expose two Haisla Nation cultural heritage sites to
increased risk of vandalism and chemical weathering.

f. The terminal will result in the direct loss of 4.85 hectares (11.98
acres) of freshwater fish habitat (harmful alteration, disruption or
destruction (HADD) under the Fisheries Act).

g. The terminal will require dredging, underwater blasting, and
placement of piles and berthing foundations, resulting in an as yet
un-quantified loss of intertidal and subtidal marine habitat.

Pipeline:

a. The proposed pipeline construction right-of-way will require the
alienation of 9,200 hectares (22,734 acres) of Haisla Nation
Territory – land to which the Haisla Nation claims aboriginal title –
and will put this land to a use that is inconsistent with Haisla Nation
stewardship of its lands, waters and resources and with the Haisla
Nation’s own aspirations for the use of this land.

b. The pipeline will require 127 watercourse crossings in Haisla Nation
Territory. Seven of these are categorized as high risk, 5 as
medium high risk, and 7 are medium or medium low risk for harmful
alternation, disruption or destruction (HADD) of fish habitat. This
risk is just from pipeline construction and does not address the
issue of spills.

c. The pipeline is estimated to result in temporary or permanent
destruction of freshwater fish habitat of 3.1 hectares (7.68 acres) in
Haisla Nation Territory.

d. The pipeline will require the clearing of land and vegetation and the
destruction of wetlands. The extent of this is yet to be quantified.

Tanker Traffic:

a. Although Northern Gateway has not made any submission on this
point, it is clear that having adequate spill response capability at
Kitimat will require additional infrastructure upgrades in and around
Kitimat, as well as potential spill response equipment cache sites.
None of this has been considered or addressed in Northern
Gateway’s application material – as such the material is
incomplete.

b. The construction for this additional infrastructure could result
impacts to ecosystems, plants, wildlife and fish, and in additional
HADD or fish mortality from accidents.

All of the land alienations required for the proposed project would profoundly
infringe Haisla Nation aboriginal title which is, in effect, a constitutionally
protected ownership right. The proposed project would use Haisla Nation
aboriginal title land in a way that is inconsistent with Haisla Nation stewardship of
its lands, waters and resources and with the Haisla Nation’s own aspirations for
the use of this land. Since aboriginal title is a constitutionally protected right to
use the aboriginal title land for the purposes the Haisla Nation sees fit, this
adverse use would fundamentally infringe the aboriginal title of the Haisla Nation.

The Haisla Nation is also concerned about the socio-economic and health
impacts of the proposed project. Northern Gateway has yet to file its Human
Health and Ecological Risk Assessment. Further, the socio-economic impact
analysis submitted as part of the application provides only a limited assessment
of the potential impacts of the project on the Haisla Nation at a socio-economic
level.

Haisla Nation society and economy must be understood within the cultural
context of a people who have lived off the lands, waters and resources of their
Territory since long before European arrival. To limit a socio-economic impact
assessment to direct impacts and to ignore consequential impacts flowing from
those impacts fails to capture the potential impacts of the proposed project on the
Haisla Nation at a socio-economic level.

1.2 Operation

The proposed marine terminal, pipeline corridor and shipping lanes will be
located in highly sensitive habitats for fish, wildlife and plants. Any accident of
malfunction at the wrong time in the wrong place can be devastating ecologically.
The Haisla Nation has identified the following concerns relating to physical
impacts from the operation of the proposed project:

Marine Terminal:

a. Intertidal and subtidal marine habitat impacts as a result of marine
vessels.
b. The likelihood of spills from the marine terminal as a result of operational
mistakes or geohazards.

c. The effects and consequences of a spill from the marine terminal. This
includes impacts on the terrestrial and intertidal and subtidal marine
environment and fish, marine mammals, birds, and other wildlife, as well
as impacts on Haisla Nation culture and cultural heritage that could result
from such impacts.

d. Response to a spill from the marine terminal, including concerns about
spill response knowledge, planning and capability, as well as impacts
flowing from response measures themselves.

Pipeline:

a. The likelihood of spills from the pipeline as a result of pipeline failure,
resulting from inherent pipeline integrity issues or external risks to pipeline
integrity, such as geohazards.

b. The effects and consequences of a spill from the pipelines. This includes
impacts on the terrestrial environment and freshwater environment, and
on plants, fish, birds, and other wildlife, as well as impacts on Haisla
Nation culture and cultural heritage that could result from such impacts.

c. Response to a spill from the pipelines, including concerns about spill
response knowledge, planning and capability, as well as impacts flowing
from response measures themselves.

Tanker Traffic:

a. Increased vessel traffic in waters used by Haisla Nation members for
commercial fishing and for traditional fishing, hunting and food gathering.

b. The likelihood of spills, including condensate, diluted bitumen, synthetic
crude, and bunker C fuel and other service fuels, from the tankers at sea
and at the marine terminal.

c. The effects and consequences of a spill. This includes impacts on the
marine environment and fish, marine mammals, birds, and other wildlife,
as well as impacts on Haisla Nation culture and cultural heritage that could
result from such impacts.

d. Response to a spill, including concerns about spill response knowledge,
planning and capability, as well as impacts flowing from response
measures themselves.

e. Potential releases of bilge water, with concerns about oily product and
foreign organisms.
These issues are important. They go to the very heart of Haisla Nation culture.
They go to the Haisla Nation relationship with the lands, waters, and resources of
its Territory. A major spill from the pipeline at the marine terminal or from a
tanker threatens to sever us from or damage our lifestyle built on harvesting and
gathering seafood and resources throughout our Territory.

Northern Gateway proposes a pipeline across numerous tributaries to the Kitimat
River. A spill into these watercourses is likely to eventually occur. The evidence
before the Panel shows that pipeline leaks or spills occur with depressing
regularity.

One of Enbridge’s own experiences, when it dumped 3,785,400 liters of diluted
bitumen into the Kalamazoo River, shows that the concern of a spill is real and
not hypothetical. A thorough understanding of this incident is critical to the
current environmental assessment since diluted bitumen is what Northern
Gateway proposes to transport. However, nothing was provided in the application
materials to address the scope of impact, the level of effort required for cleanup
and the prolonged effort required to restore the river. An analysis of this incident
would provide a basis for determining what should be in place to maintain
pipeline integrity as well as what should be in place locally to respond to any spill.

The Kalamazoo spill was aggravated by an inability to detect the spill, by an
inability to respond quickly and effectively, and by an inability to predict the fate
of the diluted bitumen in the environment. As a result, the Kalamazoo River has
suffered significant environmental damage. The long-term cumulative
environmental damage from this spill is yet to be determined.

Further, the Haisla Nation is also concerned about health impacts of the
proposed project and awaits the Human Health and Ecological Risk Assessment
which Northern Gateway has promised to provide.

1.3 Decommissioning

Northern Gateway has not provided information on decommissioning that is detailed enough to allow the Haisla Nation to set out all its concerns about the potential impacts from decommissioning at this point in time. This is not good enough. The Haisla Nation needs to know how Northern Gateway proposes to undertake decommissioning, what the impacts will be, and that there will be financial security in place to ensure this is done properly.

2. Lack of Consultation

 

Broadly, the Haisla Nation has concerns about all three physical aspects of the
proposed project – the pipeline, the marine terminal and tanker traffic – during all
three phases of the project – construction, operation and decommissioning.
These concerns have not been captured or addressed by Northern Gateway’s
proposed mitigation. The Haisla Nation acknowledges that a number of these
concerns can only be addressed through meaningful consultation with the
Crown. The Haisla Nation has therefore repeatedly asked federal decision-
makers to commit to the joint development of a meaningful consultation process
with the Haisla Nation. The federal Crown decision-makers have made it very
clear that they have no intention of meeting with the Haisla Nation until the Joint
Review Panel’s review of the proposed project is complete.

The federal Crown has also stated that it is relying on consultation by NorthernGateway to the extent possible. The federal Crown has failed to provide anyclarity, however, about what procedural aspects of consultation it has delegated to Northern Gateway. Northern Gateway has not consulted with the Haisla Nation and has not advised the Haisla Nation that Canada has delegated any aspects of the consultation process.

The Haisla Nation asserts aboriginal title to its Territory. Since the essence of

aboriginal title is the right of the aboriginal title holder to use land according to its
own discretion, Haisla Nation aboriginal title entails a constitutionally protected
ability of the Haisla Nation to make decisions concerning land and resource use
within Haisla Nation Territory. Any government decision concerning lands,
waters, and resource use within Haisla Nation Territory that conflicts with a
Haisla lands, waters or resources use decision is only valid to the extent that the
government can justify this infringement of Haisla Nation aboriginal title.

The Supreme Court of Canada has established that infringements of aboriginal
title can only be justified if there has been, in the case of relatively minor
infringements, consultation with the First Nation. Most infringements will require
something much deeper than consultation if the infringement is to be justified.
The Supreme Court has noted that in certain circumstances the consent of the
aboriginal nation may be required. Further, compensation will ordinarily be
required if an infringement of aboriginal title is to be justified [Delgamuukw].

The Haisla Nation has a chosen use for the proposed terminal site. This land
was selected in the Haisla Nation’s treaty land offer submitted to British Columbia
and Canada in 2005, as part of the BC Treaty Negotiation process, as lands
earmarked for Haisla Nation economic development.

The Haisla Nation has had discussions with the provincial Crown seeking to
acquire these lands for economic development purposes for a liquefied natural
gas project. The Haisla Nation has had discussions with potential partners about
locating a liquefied natural gas facility on the site that Northern Gateway
proposes to acquire for the marine terminal. The Haisla Nation sees these lands
as appropriate for a liquefied natural gas project as such a project is not nearly
as detrimental to the environment as a diluted bitumen export project. This use,
therefore, is far more compatible with Haisla Nation stewardship of its lands,
waters and resources.

By proposing to use Haisla Nation aboriginal title land in a manner that is
inconsistent with Haisla Nation stewardship of its lands, waters and resources,
and that interferes with the Haisla Nation’s own proposed reasonable economic
development aspirations for the land, the proposed project would result in a
fundamental breach of the Haisla Nation’s constitutionally protected aboriginal
title.

Similarly, Haisla Nation aboriginal rights are constitutionally protected rights to
engage in certain activities (e.g. hunting, fishing, gathering) within Haisla Nation
Territory. Government decisions that infringe Haisla Nation aboriginal rights will
be illegal unless the Crown can meet the stringent test for justifying an
infringement.
Main story Haisla Nation confirms it opposes Northern Gateway, demands Ottawa veto Enbridge pipeline; First Nation also outlines “minimum conditions” if Ottawa approves the project

Haisla Nation Response to NGP Information Request  (pdf)

Enbridge’s multi-million dollar ad campaign collides on the web with Alberta oil spill and fears about the water supply

As the people near Sundre, Alberta deal with an oil spill of up to 175,000 litres into the Red Deer River, there have been reports on Twitter all day of Enbridge’s pro-pipeline ads appearing alongside stories on the oil spill on news sites across Canada. For most of Saturday,  I didn’t see any Enbridge ads on the news pages I checked. Ad viewing is usually tied by algorithms to the specific viewer’s interests.

Tonight, an Enbridge ad did show up on my computer screen.  An unfortunate pairing of a CP story on Ipolitics.ca  that  drinking water will be trucked into the affected communities. Alongside it the animated Enbridge ad promoting the Northern Gateway.

Enbridge ad accompanies a story on the Alberta oil spill

Water supply is a critical issue in the Enbridge debate, especially in Kitimat, BC, where the pipeline will cross the Kitimat River watershed and then follow the route of the Kitimat River to the planned terminal at the town’s waterfront. The environmental group Douglas Channel Watch says its studies show that a major rockfall or landslide could cut Kitimat’s water supply for up to four years, meaning the town would have to survive on bottled water for years.  Enbridge has said its studies and engineering will ensure the water supply is safe.

But it get’s worse.   I had written this story and went back to the original Ipolitics.ca story to double check the facts and the URL   The page had automatically refreshed and a new Enbridge ad appeared as a banner ad. In the right-hand box where the previous Enbridge had been a few moments before, there is now an advertisement  promoting the safety of fracking.

Enbridge banner ad on Alberta oil spill story

Advertisers want interested eyeballs and various cookies and tracking mechanisms mean that these days that ads appear either in a story that is tied to the industry, in this case, oil and gas, or  tied to the viewers’ web history.

In all the years I worked in television news, there were always protocols for pulling suddenly and unexpectedly inappropriate ads from a local, network or cable newscast  when there was “breaking news.”

It’s a lot harder to do that for a web ad, but it can be done. It may that with Enbridge spending millions of dollars on ads, management was reluctant to stop the campaign cold.  But ads can e pulled. The fact the ads are running on the second day of the spill raises again the question of Enbridge’s managerial competence. After all, the American Petroleum Institute, the lobby group for the American energy industry, immediately stopped all pro-drilling ads within hours of realizing that the BP spill in the Gulf of Mexico was a major incident.

(Note this site has no control over the Google ads which appear, which are even more than most ads, are tied to Google’s tracking of an individual’s viewing habits as well as the content of the story.  Major banner ads, like Enbridge’s, however, are usually booked through web ad agencies and can be pulled by clicking a mouse.)

And yes, when I checked the facts on the ad campaign, finding a story from May 30, in the Calgary Herald, the Enbridge ad was there as well.

In the story, picked up from the Vancouver Sun,  Enbridge spokesman Paul Stanway was quoted:

“You are going to see a much higher visibility for Enbridge over the next few days. In newspapers, in television and online,” said Paul Stanway, manager of Northern Gateway communications for Enbridge. “It’s become quite apparent that the debate has become a province wide issue.”

Calgary Herald web page with Enbridge ad

Note, due to those algorithms, if you click on the original pages, you may or may not see the Enbridge ads, just I didn’t see the ones earlier today that were linked to from Twitter.

US National Transportation Safety Board releases photos, documents on Enbridge Kalamzoo oil spill

NTSB staff examine ruptured pipe
US National Transportation Safety Board staff examine a ruptured pipe from the Enbridge oil spill in August, 2010. The photo was released by the NTSB May 21, 2012. (NTSB)

The United States National Transportation Safety Board today released more than 5,000 pages relating to its investigation of the 2010 of the Marshall, Michigan, Enbridge pipeline rupture and oil spill.

The NTSB release says it is adding the documents to the “public docket” on the case.

About 11:17 a.m. EDT on July 26, 2010, Enbridge Energy Partners was notified of a leak on a 30-inch diameter crude oil pipeline (Line 6B) in Marshall, Michigan. The pipeline had ruptured 17 hours earlier and spilled about a million gallons of crude oil into the immediate area resulting in extensive environmental damage to Talmadge Creek and the Kalamazoo River.

Fifty-eight photographs and 170 documents totaling more than 5000 pages are in the docket. The information being released is factual in nature and does not provide any analysis.

Additional material may be added to the docket as it becomes available. Analysis of the accident, along with conclusions and its probable cause, will be determined at a later date.

This is a document release only; no interviews will be conducted.

Documents are available at this link

More than 800,000 gallons of heavy bitumen crude spilled from the pipeine near Marshall in Calhoun County, Michigan. NTSB spokesman Peter Knudson said Monday the NTSB expects to reach a conclusion on the spill sometime this summer.

On May 10, Enbridge announced it would spend $1.6 billion to upgrade and replace portions of the pipeline through Michigan and Indiana. The broken pipeline, however, would be decontaminated and “abandoned in place.”

Enbridge to spend $1.6 billion to upgrade Michigan pipeline, old line will be “abandoned in place”

Enbridge announced Thursday, May 10, 2012, it plans to spend $1.6 billion to upgrade and replace its pipeline through Michigan and Indiana, including the site of the leak in to the Kalamazoo River in July 2010. What Enbridge calls the “6B pipeline” broke open near Marshall, Michigan and spilled more than 840,000 gallons of bitumen sands oil into Talmadge Creek and the Kalamazoo River.

That doesn’t mean, however, that the broken and now disused pipeline will be demolished. Enbridge says that pipeline will be “abandoned in place,” meaning it will be deactivated, purged of any remaining oil and then filled with an “inert gas,” a move that is permitted under United States pipeline safety regulations.

In a fact sheet, Enbridge says it plans to replace approximately 75 miles of its 30-inch diameter “Line 6B pipeline.” The 75 miles to be replaced with new pipe consists of about 10 miles in Indiana and 65 in Michigan, with replacement pipe to be either 30 or 36-inch diameter pipe in Indiana and southwestern Michigan and 30-inch pipe in the eastern Michigan segment.

Enbridge map of pipeline 6B
A map, released by Enbridge, showing its plans for upgrading and replacing the 6B pipeline in Michigan and Indiana.

Enbridge says the new pipeline will closely follow the route of the old one.

Completion of this project, scheduled for late 2012, should result in fewer integrity digs and repairs along the replacement segments in the future, resulting in fewer disturbances to landowners and local communities.

For this project, we plan to remove the oil from the pipe segments being replaced and fill them with nitrogen before abandoning in place, as prescribed in regulations. In most cases, the new pipe segments will be installed adjacent to those segments being replaced.

Enbride says the “The Line 6B Maintenance and Rehabilitation Project” is part of the company’s “pipeline integrity maintenance program” that includes:

  • Using high-quality steel and anti-corrosion coatings when constructing our pipelines.
  • Installing cathodic protection (a low-level electrical charge) to inhibit corrosion of underground pipelines. Pressure testing of new and existing pipelines with
    water.
  • Periodically inspecting the inside of the pipeline with sophisticated tools called “smart pigs” to locate
  • pipe abnormalities so they can be corrected.
  • Conducting preventive maintenance programs.
  • Continually monitoring pipeline operations from Enbridge’s control center, which has remote shut-down capabilities and can monitor pressures and conditions when the pipeline is flowing.
  • Completing regular ground and aerial inspections of the right-of-way.
  • Providing public awareness safety information to emergency responders, local public officials, excavators and those who live and work along our pipelines.

Enbridge says the aim of the project is to restore the capacity of the pipeline to meet increasing
demand driven by current and planned refinery upgrades and expansions in Michigan, Ohio
and eastern Canada.

Enbridge plans to complete the Indiana segment of the replacement pipeline by 2012. As for the Michigan pipeline, the company says four segments will be completed in 2012 and the last 160 miles will be completed in late 2012 or early 2013.

All of Enbridge’s plans are subject to U.S. Federal and state approvals.

As for the spill in the Kalamazoo River, the Kalamazoo Gazette, in covering the Enbridge announcement reported today

Although one section of small section of the Kalamazoo River that had been closed following the Enbridge spill in 2010 reopened last month – just three of the 40 miles affected – environmental officials have said significant amounts of oil still remain submerged in the river bed, although they say it is not dangerous to human health. State and federal agencies are slated to open more parts of the river in coming months pending investigation.

 

Related Links:
WOOD-TV Enbridge plans new $1.6 bil pipeline Oil pipeline will not be demolished

NPR Michigan Radio Enbridge wants to replace 200 miles of aging pipeline in Michigan

Documents 

Enbridge Handout Line 6B Phase 2  (pdf)

Enbridge Handout Line 6B Replacement Project  (pdf)

A map released by Enbridge showing its central Canada and US pipelines

 

More oil leaking from sunken WWII US transport near Hartley Bay, Gitga’at warn

Oil slick in Grenville Channel (Gitga`at First Nation Guardians)
Oil slick in Grenville Channel (Gitga`at First Nation Guardians)

The Gitga’at First Nation at Hartley Bay report that a large oil slick  has been spotted in Grenville Channel near Hartley Bay.  It is believed that the oil is coming from the  USAT Brigadier General M.G. Zalinski, a U.S. army transport ship that sank in 1946 with 700 tonnes of bunker fuel on board.

A news release from the Gitga’at says the oil spill is between  between two and five miles (four to eight kilometres) long and 200 feet wide (70 metres) inside the Grenville Channel.

A Canadian Coast Guard vessel from Prince Rupert is expected in the area sometime this afternoon.

The Gitga’at are sending their own Guardians to take samples and have chartered a plane to take aerial photos of the spill, the release says.

“If this spill is as big as the pilots are reporting, then we’re looking at serious environmental impacts, including threats to our traditional shellfish harvesting areas,” says Arnold Clifton, Chief Councillor of the Gitga’at Nation. “We need an immediate and full clean-up response from the federal government ASAP.”

The USAT Brigadier General M.G. Zalinski was carrying Bunker C when it sank. The First Nation says the Canadian government has been saying it would remove the oil and munitions from the ship since 2006, but with no results.

“Right now we’re focused on getting a handle on the size of the spill and the clean-up that’s required,” says Clifton. “But this incident definitely raises questions about the federal government’s ability to guard against oil spills and to honour its clean-up obligations. As a result, our nation has serious concerns about any proposal to have tankers travel through our coastal waters, including the Enbridge proposal.”

The spill is just the latest in a series of spills of bunker oil and diesel coming from the Zalinski and the BC Ferry Queen of the North, which sank in 2006. Despite government assurances of clean-up, both wreckages continue to leak fuel, fouling the marine environment, and heightening the fear of future oil spills.

The Gitga’at depend on the ocean for 40 per cent of their traditional diet.

According to Wikipedia, the Zalinksi was enroute from Seattle to Whittier Island, Alaska, when it struck rocks at Pitt Island on Grenville Channel 0n September 26 1946, 55 miles (88 kilometres)  south of Prince Rupert. The ship sank within twenty minutes, while her crew of 48 were rescued by the tug Sally N and the passenger steamer SS Catala. According to a report in The Vancouver Sun on  September 30, 1946, at the time of her sinking she was transporting a cargo of at least twelve 500-pound (230 kg) bombs, large amounts of .30 and .50 caliber ammunition, at least 700 tonnes of bunker oil, and truck axles with army type tires.

Oil was first spotted leaking in Grenville Channel in 2003 and the wreck of the Zalinski was identified later that year by a remotely operated undersea vessel.

Hartley Bay is the entrance to Douglas Channel where tankers will go to Kitimat for the proposed Northern Gateway pipeline and three liquified natural gas projects.