EDF Statement on Federal Gas Storage Safety and Reliability Report

Report Shows Holes in Safety Net; Feds Must Work Carefully With States to Fix

October 18, 2016
Jon Coifman, (212) 616-1325, jcoifman@edf.org
Stacy MacDiarmid, (512) 691-3439, smacdiarmid@edf.org

(NEW YORK, NY – October 18, 2016) Federal officials today released a comprehensive new report on the safety and reliability risks at over 400 natural gas storage facilities in more than 30 states. The assessment was commissioned after the disastrous four-month rupture at the 70-year-old Aliso Canyon site outside Los Angeles, which was first discovered on October 23, 2015.

These aging facilities are a crucial part of the nation’s energy infrastructure. They are not currently governed by any federal safety or environmental rules. State standards, where they exist, vary widely in both quality and effectiveness.

Statement by Mark Brownstein, EDF Vice President, Climate and Energy

“This new report accurately describes the serious safety and environmental hazards involved with these crumbling links in our energy infrastructure. The challenge now is taking action. We need stronger safety standards at both the state and federal level, and to make sure that state and federal officials are working together to close the gaps in the safety net. We also need market reforms that reduce the nation’s dependence on gas and gas storage.

“There are more than 400 of these facilities in at least 30 states that that aren’t covered by federal safety or environmental rules, while state regulations vary widely in quality and effectiveness. Many of these facilities are old and have problems related to initial well construction and long-term corrosion. The older these systems get, the more leaks and blowouts become a problem. Right now, we’re effectively crossing our fingers, hoping for the best.

“The federal Pipeline and Hazardous Materials Safety Administration (PHMSA) has a policy in the works to address many of these issues. But the legal and technical issues involved are complicated, and they need to make sure they get it right. Otherwise they might actually create new gaps in a safety net that already has too many holes. They shouldn’t just adopt industry guidelines, as some have suggested. It’s also important not to override or preempt states’ ability to act.

“The Federal Energy Regulatory Commission should also be looking carefully at new market reforms to reduce future dependence on gas and gas storage.”

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