Rise in tanker traffic sparks fear of spills

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

29 Nov 2007

The potential for large increases in exports of crude oil through the Port of Vancouver has local politicians concerned about the port's growing vulnerability to oil spills."I don't like any increase in the traffic because of the environmental risk it creates," said Burnaby City Councillor Garth Evans. "I'm opposed to any increase in tanker traffic. If I could, I'd like to reduce it."Crude oil shipments through Kinder Morgan Canada's Westridge Terminal in Burnaby have grown significantly in the past three years - to 1.3 million tonnes in 2006 from 461,000 tonnes in 2004. According to the Port of Vancouver, statistics for the first nine months of 2007 show 1.54 million tonnes shipped."This year, we will be loading approximately 34 crude tankers; last year it was 28," said Kinder Morgan spokesman Philippe Reicher. "In 2000, we had none."Oil exports through Vancouver have ebbed and flowed over the years, but what has local council members concerned is a massive expansion program that could more than double the volume of oil moving from Alberta to the Lower Mainland."As council, we were concerned even that they would be expanding their tank farm, and most of council was opposed to that," said Burnaby Councillor Colleen Jordan. "Unfortunately, under the original agreement, there's nothing we can do about it. It's their property and as long as they operate according to environmental standards and guidelines, they're okay."Ms. Jordan agreed that a pipeline rupture on land in August that spewed 234,000 litres of oil (about 1,400 barrels) had alarmed Burnaby councillors."Yes, that's putting it mildly," she said. "But all we have is moral suasion and land use. What's above the ground and under the ground you don't control."Mr. Evans echoed that comment, saying that he's hoping that the investigation of the land spill (a contractor ruptured the line with a backhoe) will provide an opening for Burnaby to revisit the issue."If we could demonstrate that they are not running such a good operation," he said. "I'm waiting to see on that."The Westridge loading dock is directly across Burrard Inlet from the District of North Vancouver's Cates Park, and outgoing tankers approaching the Second Narrows Bridge go by the ecologically sensitive Maplewood Flats. And that has North Vancouver District Councillor Janice Harris concerned."I find the whole thing scary," she said. "We've spent a lot of time and energy caring for those areas, and we were rudely reminded by the land spill just how vulnerable we are."Ms. Harris is considering introducing a motion at District Council asking for a presentation outlining just what systems are in place to protect the shoreline in the event of a spill.Burnaby Mayor Derek Corrigan, North Vancouver District Mayor Richard Walton and Vancouver Mayor Sam Sullivan did not respond to interview requests.In August, Kinder Morgan began work on a $400-million pipeline expansion project that will take the crude oil pipeline's capacity to 300,000 barrels a day from 260,000 barrels by November, 2008. The next phase would bring pipeline capacity to 700,000 barrels a day, with a possible additional 400,000 barrels a day pipeline to Kitimat.Driving the expansion is ever-increasing production from the Athabasca oil sands near Fort McMurray, Alta., and a desire to seek additional markets in the United States and Asia for the crude oil. A recent Statistics Canada report said that in 2007 Canada has shipped $150-million of crude oil through Vancouver to China to test its viability in Chinese refineries."We believe about 20 per cent of our shipments have gone to Asia," Mr. Reicher said. "But we've also seen some tankers go all the way to the U.S. Gulf Coast through the Panama Canal. That obviously indicates that it is cost-competitive to take crude off the West Coast all the way around - as opposed to through the pipeline systems."Mr. Reicher said the current capacity for the Westridge Terminal allows Kinder Morgan to load three or four tankers a month, depending on their size. Harbour depth and channel width limit the size of vessels that can get to Westridge.He pointed out that terminal also handles 90 per cent of the jet fuel shipped to the Vancouver International Airport. The Port of Vancouver also handles fuel oil and gasoline imports and exports through five other terminals, and in 2006 shipped 1.7 million tonnes of gasoline and 1.4 million tones of fuel oil - most of it in barges to and from points on Vancouver Island and in Washington State."The marine terminal could be expanded if customers would like to see increased capacity off the dock," Mr. Reicher said. "The nature and scope of the upgrade will depend on customer requirements."