As we discussed earlier, environmental activists have asked the Environmental Protection Agency (“EPA”) to update its oil and gas drilling waste disposal rules under the Resource Conservation and Recovery Act (“RCRA”). The groups sought to force the EPA’s hand by suing the EPA in an attempt to get a court order requiring the EPA to … Continue Reading
Before leaving Washington, D.C. for the holidays, President Obama signed H.R. 2029 (Consolidated Appropriations Act, 2016), which repealed the ban on U.S. exports of crude oil. The repeal occurred just few days before today’s 40th anniversary of President Ford signing the ban into law. According to historical data from the U.S. Energy Information Administration, when … Continue Reading
On October 8, the National Wildlife Federation (“NWF”) fulfilled its promise to sue the U.S. Department of Transportation (“DOT”). The lawsuit alleges that for 20 years the DOT has allowed pipelines to operate illegally by failing to issue regulations under section 311(j) of the Clean Water Act (“CWA”), which requires pipeline operators to submit plans … Continue Reading
On July 28, 2015, the National Wildlife Federation (“NWF”) filed an intent to sue notice against the Department of Transportation (“DOT”), arguing the DOT has not properly approved pipeline projects for more than 20 years. The legal action carries nationwide implications: Every U.S. oil pipeline that intersects a navigable water may soon be subject to additional … Continue Reading
On Wednesday, August 26, a coalition of environmental groups threatened to sue the U.S. Environmental Protection Agency (“EPA”) if the regulations under the Resource Conservation and Recovery Act (“RCRA”) are not updated to restrict the disposal of waste associated with oil and gas production. The coalition specifically asked the EPA to review and revise the … Continue Reading
On Thursday, the Environmental Protection Agency (“EPA”) released a long awaited, and congressionally mandated, study detailing the relationship between hydraulic fracturing and drinking water. The EPA found no signs of “widespread, systemic” drinking water pollution from hydraulic fracturing. “It is the most complete compilation of scientific data to date,” says Dr. Thomas Burke, with the EPA’s … Continue Reading
Three states have recently taken a stand for or against controversial bans on hydraulic fracturing. Oklahoma, Texas, and Maryland have all passed laws within the past month relating to hydraulic fracturing bans. Oklahoma Last Friday, Oklahoma Governor Mary Fallin signed Senate Bill 809, which prohibits local governments from choosing whether to have oil and gas … Continue Reading
Today, May 8, 2015, the Pipeline and Hazardous Materials Safety Administration published a final rule for rail transport of crude oil in the Federal Register. These rules come after several high-profile oil train derailments, including one recently in North Dakota that caused the evacuation of a nearby town. The final rule applies to “high-hazard flammable … Continue Reading
On Tuesday, May 5, 2015, the Internal Revenue Service (“IRS”) released proposed regulations defining qualifying income for Master Limited Partnerships (“MLPs”). MLPs are publicly traded partnerships that are taxed as a partnership rather than a corporation. Being taxed as a MLP has many advantages. While shareholders in a corporation face double taxation ̶ paying taxes … Continue Reading
As we reported earlier, consideration of proposed federal rulemaking concerning crude oil-by-rail transportation recommended by the Pipeline and Hazardous Material Safety Administration and Federal Railroad Administration is underway, and, after receiving more than 3,000 submissions, the comment period closed on September 30. Nevertheless, and despite the possibility of preemption challenges in litigation, state governments in … Continue Reading
On Wednesday, July 23, 2014 the Pipeline and Hazardous Materials Safety Administration (“Administration”), an agency within the U.S. Department of Transportation (“USDOT”), issued a Notice of Proposed Rulemaking (“NOPR”) for rail transport of crude oil and ethanol. The NOPR, titled “Enhanced Tank Car and Operational Controls for High-Hazard Flammable Trains,” is available online, but has … Continue Reading
With the federal Department of Transportation’s recent emergency order impacting those who transport crude oil by rail, state governments are likewise considering additional regulatory oversight that could affect the industry in the wake of recent train derailments such as the one yesterday in Virginia. In Minnesota, where more than 800 tank cars carrying oil from … Continue Reading
In response to questions raised by the petrochemical industry, the federal Department of Transportation (USDOT) amended its emergency order restricting those who transport crude oil by rail in the United States last Thursday. Among other revisions, the amended order requires that shippers test their oil cargoes with sufficient frequency to ensure that their hazardous material … Continue Reading
In response to safety concerns over trains carrying crude oil extracted from Bakken shale, the federal Department of Transportation (USDOT) issued an Emergency Restriction/Prohibition Order yesterday, affecting all those who transport crude oil by rail in the United States. Specifically, the USDOT stated that its investigations into train accidents and derailments in North Dakota, Alabama, … Continue Reading
Following the derailment and explosion of a train carrying crude oil near Casselton, North Dakota, and a federal Department of Transportation safety alert that Bakken crude may be more prone to ignite at lower temperatures than other crudes, there’s renewed interest in finding secure transportation alternatives for those natural resources. Pipelines are one alternative gaining … Continue Reading
On August 2, 2013 the Federal Railroad Administration (“FRA”) released Emergency Order No. 28, Notice No. 1 and Safety Advisory 2013-06 in response to the July 2013 tragedy in Lac-Mégantic, Quebec, Canada where a cargo train derailed, exploding portions of the 72 cars of petroleum crude oil it carried. The explosion killed 47 people and … Continue Reading
