Thursday, July 24, 2014

U.S. DOT proposes new rules for crude by rail

On Wednesday, the U.S. Department of Transportation proposed a revamp of safety standards with regards to shipping crude oil and ethanol by rail, following several incendiary rail accidents that occurred last year.

The draft rules recommend new tank-car braking systems, train-speed restrictions, more testing for unstable gases and liquids, and a two-year phase-out of older tank cars that officials have said are prone to puncture and fire when derailments occur.

"Today's proposal represents our most significant progress yet in developing and enforcing new rules to ensure that all flammable liquids... are transported safely," said Transportation Secretary Anthony Foxx in a statement.

The proposed rules requested industry feedback on several options that address two of the most contentious issues—whether to lower speed limits for trains, a step some railroads oppose; and upgrading the specifications for rail tank-cars.

The rules, subject to a 60-day pubic comment period, follow an 18-month period in which more than a dozen derailments of trains carrying crude oil occurred. Six of the incidents led to major fires and one caused the death of 47 people in the Canadian town of Lac Megantic, in Quebec province.

For more of the Reuters story: www.reuters.com


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