Houston Pipeline Companies Fined $2.8 Million for Illegal Dumping

According to the Department of Justice, two oil and gas distributors out of Houston will be fined $2.8 million for intentionally dumping oil and gas into Texas, Arkansas, and Oklahoma waterways.

Announced by the Environmental Protection Agency as well as the Justice Department, two Houston-based pipeline companies, known as TE Products Pipeline Co. LLC and TEPPCO Crude Pipeline, LLC will be fined this amount for intentionally dumping jet fuel into waterways, adding up to more than 6,470 total barrels. Among liquids dumped were jet fuel, gasoline, and crude oil, all disposed illegally into waterways in Texas, Arkansas, and Oklahoma. This all took part in between November of 2001 and May of 2005.

"TEPPCO will pay a civil penalty and has agreed to make important upgrades to its pipeline systems which will improve overall safety," said John Cruden, Deputy Assistant Attorney General for the Justice Department's Environmental and Natural Resources Division. "The Justice Department is pleased to have reached a favorable resolution and we will continue to investigate and take action against those who fail to comply with environmental laws."

Among charges this company is responsible for include dumping 2,575 barrels of Jet A Kerosene, also known as jet fuel, into the Neches River near Vidor, Texas. This took place on November 27, 2001 Also, dumping 2,497 barrels of jet fuel into the Big Cow Creek, part of the Sabine River, on February 12, 2005. Also, charged for dumping 500 barrels of unleaded fuel into the Moro Creek on March 12, 2004 as well as 898 barrels of crude oil into the Eastman Creek on May 13^th, 2005.

"TEPPCO agreed to make pipeline improvements that will increase the safety of its operations and help protect our nation's waters," said Granta Nakayama, EPA's Assistant Administrator for the Office of Enforcement and Compliance Assurance. "Water is essential to life, and industries must take every precaution to ensure their operations do not harm this vital natural resource."

Besides paying fines of $2,865,000, the company also agreed to take part in $2.6 million dollars in continued monitoring and upgrades. These upgrades will include installing video cameras that will surveillance the area around the pump stations on a 24-7 basis, installing leak detection using a software system in order to enable the company to balance oil volume, pressure, and temperature, as well as to monitor these attributes. This company must also submit its progress with reports to the EPA on the requirements that they agreed to take part in.

A copy of this company's consent form is available at http://www.usdoj.gov/enrd/Consent_Decrees.html.

SOURCE

DEPARTMENT OF JUSTICE

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