Thursday, November 8, 2007

New Natural Gas Pipeline Excavation Laws

Explosions caused by natural gas leaks are rare considering the 1.9 million miles of natural gas distribution pipeline in the United States. When they do happen they are often caused by damage from construction companies excavating a site for new construction or to repair existing construction.

In 2006 Congress passed legislation called the Pipeline Inspection, Protection, Enforcement, and Safety Act of 2006. The purpose of the legislation is to prevent excavation damage to natural gas pipelines through the enhanced us and improved enforcement of state One Call laws. One Call laws require excavators to contact the state One Call system prior to excavating to locate the underground pipe. The excavators are also required to report any damage or escape of gas caused by their digging.

The law provides funding and direction for the U.S. Department of Transportation’s pipeline safety oversight programs and new funding to strengthen excavation damage prevention programs.

The Department of Transportation is responsible for enforcing the laws. Civil penalties are assessed. These civil penalties are not only assessed against excavation companies violating the One Call laws but also to any pipeline operator who does not respond to a request for information on a location or does not mark the pipeline location properly.

The new legislation also provides state grants for improvements to the damage prevention programs and for development of new technologies for prevention of excavation damage.

Studies show that natural gas pipelines have been the safest mode of transportation in the United States. The natural gas pipeline companies spend a large amount of their budgets making sure the pipelines run safely. They are constantly doing research and development to improve their infrastructure to increase the safety and reliability of their infrastructure. The new legislation also mandates the installation of excess flow valves on new service lines or on lines that have been entirely replaced that serve single-family homes.

Between 1986 and 2004 the number of accidents reported decreased by 28 per cent. Over 650,000 miles of pipeline were added during this period and the gas moving through the pipelines increased by 33 per cent. Companies like Triple Diamond Energy Corporation are focused on increasing the domestic supply of natural gas to support the increased demand.

Natural gas provides 25% of the energy used in the U.S. The White House, Pentagon and Capitol building all use natural gas for heating. Natural gas has been delivered via pipeline for over a century in the U.S. The cost of the new regulations to natural gas pipeline companies is significant. First year implementation were estimated to be approximately $0.036 per thousand cubic feet. The increased safety provided by this legislation far outweighs the additional expense incurred. Accidents are far more costly to natural gas pipeline companies than the additional expense of the requirements of the new law.

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