What you Need to Know and Why. Cell:

Transcription

1 What you Need to Know and Why Cell:

2 Pipeline Safety Coalition: Who we are & what we do: Relationships focus on: Community and Environmental Safety: a high level of equal access to information community mentoring facilitation of respectful and productive conversations between citizens, environmental organizations, federal, state, local entities and pipeline operators Historic Brandywine Creek, Chester County, PA: Coffer Dam, Open Trench Construction 42 Natural Gas: Williams Transco Pipeline: Photo: Pipeline Safety Coalition Our Board of Directors: Carolyn Elefant, Law Offices of Carolyn Elephant, PLLC, Washington, DC Dr. Simona Perry, Applied Anthropologist, c.a.s.e. Consulting Services, Savannah, Georgia Dr. Nathan Phillips, Department of Earth and Environment, Boston University, Boston, Massachusetts Eric Friedman, Aviation Safety Inspector, Federal Aviation Administration, Delaware County, PA Steven R. Farrell, Technical Solutions Services, Chester County, PA

3 PSC Workshops: What you Need to Know and Why VOCABULARY: TERMS DEFINITIONS ACRONYMS WHO REGULATES WHAT? PIPELINE SITING PIPELINE SAFETY Historic Brandywine Creek, Chester County, PA: Coffer Dam, Open Trench Construction 42 Natural Gas: Williams Transco: Photo: Pipeline Safety Coalition IT S NOT JUST A PIPELINE YOUR ROLE IN PIPELINE: LANDOWNER RIGHTS KNOWLEDGE = THE POWER TO PROTECT YOUR RIGHTS, SAFETY AND ENVIRONMENT

4 VOCABULARY: TERMS DEFINITIONS ACRONYMS HCA: Class 1 Class 4 Processing Plant

5 Pipelines are categorized by what they carry - (Natural Gas, NGL, Oil, Petroleum) And where they go - (within a state, between states, pipe to pipe, pipe to end user ) Who regulates what varies: WHO REGULATES WHAT can be confusing! Falcon is a Ethane (NGL) Pipeline SITING FERC: Interstate Natural Gas Pipelines US ARMY CORP ENGINEERS - EPA - PA DEP Through permits: (pipeline crossings of wetlands, waterways, areas of endangered species, historic value, etc) INDUSTRY: Class One Gathering Lines, Intrastate Transmission, Petroleum, Liquified Natural Gas (LNG), Hazardous Liquids (NGL) Processing Plants, Valves, Pumping Stations,& Compressor Stations (above ground facilities) INDUSTRY/UTILITIES: (Class One) Gathering Lines, City Gates, Distribution Lines SAFETY Department of Transportation - Pipeline & Hazardous Materials Administration US DOT PHMSA: Interstate Transmission: all lines PA PUC: (State Public Utilities) Intrastate Transmission, Gathering Lines (not Class One) distribution lines: through PHMSA contracts 3

6 IT S NOT JUST A PIPELINE Source: Natural Gas Pipeline Infrastructure Hazardous Liquids Pipeline Infrastructure 6

7 2.25 million tons of carbon dioxide equivalents/yr Ethane Cracker Falcon would be the largest ethane cracker in North America 484 tons/yr: volatile organic compounds (3x the VOC output of the Clairton Coke Works - the No. 2 cancer driver from air pollution in southwestern Pennsylvania) 30 tons/yr air pollutants: Benzene, linked to cancer and childhood leukemia; Tolulene, linked to brain, liver, and kidney problems and to spontaneous abortion and birth defects; formaldehyde. 159 tons per year of PM2.5 particulate matter that can pass through the lung s into the bloodstream to contribute to cardiovascular and respiratory disease, lung cancer and bladder cancer.

8 Image: FrackTracker Falcon Pipeline is a pipeline to be constructed in a 50 ft wide permanent easement, or ROW (right of way) Permanent ROWs are exactly that: Permanent. They become part of your deed and pass to whomever buys your propriety. A pipeline ROW can reduce the value of your property. A 50 ft wide permanent easement is relatively large for a pipeline. Signing a 50 foot easement agreement may be giving Shell the right to add more pipelines in the future without futher compensation. Read your easement carefully (preferably with an attorney). Make sure you are only signing an agreement to place one pipeline in the easement. Do not sign an agreement that says place one or more or gives Shell ALR (additional line rights) Ethane is the fuel planned to be transported to the petrochemical plant that Shell Chemical is building in Beaver County

9 IT S NOT JUST A PIPELINE MarkWest blends much of its ethane into the commercial methane stream for marketing as natural gas or through the active ATEX Express pipeline that sends ethane to the Gulf Coast or through the active Sunoco (ETP) Mariner1 that ships ethane to Europe and Sunoco (ETP) Mariner West to Nova Canada Netherlands-based Shell Pipeline Company s Falcon Pipeline would bring new infrastructure to carry ethane (approximately 107,000 barrels of per day) from the MarkWest plants in Cadiz and Houston to the ethane cracker near Monaca

10 It s not just a pipeline Source: PHMSA National Mapping System:

11

12 HCA: High Consequence Areas Community and Environment YOUR ROLE IN PIPELINE: POLICY INITIATIVES DEVELOPMENT SAFETY HCA = an area where transmission pipeline failures could have greatest consequences to health, life, environment: 49 CFR (US DOT PHMSA) Specific to Natural Gas HCAs Class are location defined is by determined population, by: building density and Class Locations 1) Classes 1-3: number of dwellings within 660 feet of the pipeline for 1 mile 2) Class 4: four-story buildings are prevalent along the pipeline Class and design factors: Class is used to determine the design pressure for steel pipe - generally reflecting MAOP (maximum allowable percentage of SMYS (specified minimum yield strength): Class 1: 0.72, Class 2: 0.60, Class 3: 0.50, Class 4: and 0.40 What happens when a class location changes - as population grows? The operators must either: 1) reduce the pipe's operating pressure to reduce stress levels in the pipe 2) replace the existing pipe with pipe that has thicker walls or higher yield strength to yield a lower operating stress at the same operating pressure 3) where the class is changing only one class rating, such as from a Class 1 to Class 2 location, conduct a pressure test at a higher pressure. Operators can apply for special permits to prevent the need for pipe replacement or pressure reduction after a class location changes. Based on certain operating safety criteria and periodic integrity evaluations, PHMSA has approved some class location special permits.

13 Pipeline Safety: Potential Impact Radius: Determining High Consequence Areas Distance beyond which a person standing outside, in the vicinity of a pipeline rupture and fire would have a 99% chance of survival - or in which death, injury or significant property damage could occur. PIR increases as diameter and pressure of the pipe increase PIR circles are defined as HCAs if they contain: 20 or more structures intended for human occupancy buildings housing populations of limited mobility buildings that would be hard to evacuate (nursing homes, schools) or buildings and outside areas occupied by more than 20 persons on a specified minimum number of days each year such as places of worship Formula: PIR = 0.69 * (p*d2) 0.5 Where: PIR = Potential Impact Radius (in feet) p = maximum allowable operating pressure (in pounds per square inch) d = nominal pipeline diameter (in inches), and 0.69 is a constant applicable to natural gas (constants for other gases must be determined in accordance with Section 3.2 of ASME B31.8S-2001)

14 When something bad happens: There are nearly 2 pipeline incidents/day* *That we know of *Includes all pipeline fuels *Leaks are self reported by Companies When NGL Pipelines leak: This chart shows: Flammability ratings of fuels (red bar) The rapid asphyxiation/ suffocation rate when Ethane is present (green bar) Air = first column Ethane = Blue Box

15 When NGL Pipelines leak: Since the make up of NGLs varies greatly, the way the NGL acts when a leak occurs varies. A leak can be undetectable if it is pooling under ground Until it reaches water or air Federal Regulatory Agencies and Industry say: Pipelines are the safest way to transport gas and oil products Remember, US DOT PHMSA* states there are nearly 2 pipeline incidents a day in the USA Energy Transfer alone (above/right) is responsible for 2.8 accidents/month *Department of Transportation Pipeline and Hazardous Materials Safety Administration Texas, 2013

16 AGRICULTURAL RISKS Pipelines are typically constructed 3-4 feet below the surface of the soil Heat is generated as fuel moves through pipelines This grain crop analysis shows crop loss where crops are planted above the pipeline Crop production areas may experience more soil erosion and therefore less soil cover pipes Land use will be restricted above the ROW (ie no barns, trees, permanent structures, fence)

17 Knowing your Rights: (With thanks to Kentucky Resource Council) Do not rush into a decision Always obtain written answers to your questions You have the right to say NO - surveys, easements offered by Penn East Don t be pressured into signing an easement before: all your questions have been answered in writing all other options have been exhausted you are ready Once an easement is granted, it is highly unlikely that you will be able to change or add terms or conditions Do not to sign an easement based on a fear that your property will be taken by condemnation Eminent domain DOES NOT allow the pipeline company to take ownership of your home or land away from you. Before signing an easement, you have the right to: 1) meet as a community and negotiate as a community 2) negotiate individually 3) obtain legal representation 4) become an intervenor in the FERC filing 5) wait until FERC issues an EA (Environmental Assessment) or EIS (Environmental Impact Statement) 6) review and comment on the EA or EIS 7) review the FERC Conditional Approval for conditions that may alter the pipeline operator s preferred/applied for route and therefore may alter terms of your proposed easement 17

18 KNOWLEDGE = THE POWER TO PROTECT YOUR RIGHTS, SAFETY, ENVIRONMENT Excerpts from PSC Landowner Rights Pipeline operators might not tell you: 1)Granting a permanent ROW easement restricts your use of your land to on that ROW, in perpetuity. The ROW may affect: a. Property Value b. Ability to develop or use your property c. Marketability of your property d. Quality of life as you know it 2)Once an easement is established on your land, it is easier for the pipeline company to: a. expand the ROW b. expand the size of existing pipelines c. put more pipes in the ROW d. sell easements for use of the ROW to other entities 3) Regardless of your loss of use in the ROW, you, the landowner continues to pay taxes and insurance on the ROW easement 4) Compensation paid to you for the ROW is taxable income - you will receive a Form 1099 Seek advice from your accountant or tax professional 18

19 YOUR ROLE IN PIPELINE: POLICY INITIATIVES DEVELOPMENT SAFETY Never doubt that a small group of thoughtful, committed citizens can change the world; indeed, it's the only thing that ever has. Margaret Mead 19

20 Advocate for HDD crossing whenever possible Historic Brandywine Creek, Chester County, PA: Coffer Dam, Open Trench Construction 42 Natural Gas: Williams Transco Pipeline: Photo: Pipeline Safety Coalition

21

22 initial stream remediation

23 Knowing your Rights: Do not rush into a decision to grant an easement Always obtain written answers to your questions Considerations: 1) Once an easement is established on your land, it is easier for the pipeline company: 1) add new pipelines 2) to expand the ROW 3) to expand the size of existing pipelines 4) sell easements for use of the ROW to other entities 2) Payments made to landowners for an easement are considered taxable income by the IRA. 1) You will receive ) Your Mortgage Company has the right to take all or part of the payment. 3) You continue to pay taxes and insurance on the ROW easement 4) Granting an easement affects how you can use your land at the ROW. It may affect: 1) Property Value 2) Ability to develop or use your property 3) Marketability of your property 5) Granting an easement may affect availability and rates your insurance policy. 6) Granting an easement may affect your existing mortgage or the ability to refinance your mortgage, so the bank or other institution holding your mortgage should be consulted 23

24 What you Need to Know and Why Cell: Thank You Need Help - call or us! Help us Help you by making a tax deductible donation to PSC: