Oct. 17: Size of Proposed Emergency Funds for Pipelines Reduced
The size of a proposed emergency fund that pipeline operators would be required to have to deal with short-term costs of incidents such as spills has been reduced under the new Pipeline Safety Act. The minimum amount of “readily available” money was reduced to at least 5% of a company’s liability from the 10% originally proposed. The federal government says the reduction, which was published as part of draft regulations, would be sufficient based on the costs of previous pipeline spills. The regulations are in a 30-day discussion period and are expected to be finalized and implemented early in 2017.