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Coastal Zone Information COASTAL ZONE Center WORMATION CENTER LI-E-- X, un@ted S@ales office of Energy, EPA-SUB/9-77-019 Env@Tanmanla@ Research and Wnera@s and Protect@cn Agency Deve@opment ndustry October @977 HD 9567 B86 1977 W THE lme@lm IDEC0390H SIEMES This volume is part of the Energy/Environment R&D Decision Series. The series presents the key issues and findings of the Interagency Energy /Environment Research and Development Pro- gram in a format conducive to efficient information transfer. The Interagency Program was inaugurated in fiscal year 1975. Planned and coordinated by the Environmental Protection Agency (EPA), research projects supported by the program range from the analysis of health and environmental effects of energy systems to the development of environ- mental control technologies. The Decision Series is produced for both energy/environment decision-makers and the interest- ed public. If you have any comments or questions, please write to Series Editor Richard Laska, Office of Energy, Minerals and Industry, RD-681, U.S. EPA Washington, D.C. 20460 or call (202) 755-4857. Extra copies are available. This document is also available to the public through the National Technical Information Service, Springfield, Virgin!& 22161. Mention of trade names or commercial products herein does not constitute EPA endorsement or recommendation for use. Text: Richard D. Brown and Richard M. Helfand Design: Bob Spewak and Steve Stryker Photography: EPA's Documerica Program, The MITRE Corporation, and The American Petroleum Institute COASTAL ZONE INFORMATION CENTER Alaskan Oil Transportation Issues Pref ace3 The tapping of the 9.6 billion barrel oil field on Alaska's North Slope required the development and implementation of numerous environmental safeguards before the 8 billion dollar, 800 mile, trans-Alaska pipeline could be built. The transport and distribution of this oil poses serious problems with respect to potential impacts upon the quality of air, water, and land, especially in the Western United States. Early in 1977, EPA prepared a summary of environmental issues asso- ciated with the movement of Alaskan oil. The report was intended to acquaint administrators, scientists, and concerned citizens with the history and problems associated with assuring environmental compatibility in the disposition of Alaskan oil reserves. This document presents the highlights of that report. PropertY Of CSC Library United States Environmental Protection Agency Office of Research and Development U S . DEPARTMENT OF COMMERCE NOAA Office of Energy, Minerals and Industry October 1977 COASTAL SERKES CENTER Qr- 2234 SOUTH HOBSON AVENUE ___Z CHARLESTON SC 29405-2413 CZ f-4 W71Ft -log" 49L 107 41. OpIrT, 51 07 "Mm"m "777' 4 n- History of Oil Transportation In the early 1800's, oil was collected from surface accelerated construction provided more than 11 thousand deposits and sold as medicine and for lubrication or miles ofnew pipeline, 3,000 miles of relocation and lighting. Following the "Drake" oil well completion in modernization of older lines, and 3,000 miles of reversed 1859, crude was carried in wooden barrels 'to western flow in existent lines. Pipeline flow to the East Coast Pennsylvania refineries by riverboats, horse-drawn wag- increased from'prewar levels of less than 50 thousand ons, and railroad. flatcars. At on,ly.1/20th the price for barrels per day to a maximum of 754 thousand barrels. the same service, pipelines quickly replaced other forms As military demands declined after the war, pipelines of oil transportation by 1900. were taken out of service, reversed, or converted, to gas Subsequent to 1900 crude production shifted from pipelines. Tankers soon became available for intercoastal the east-central states of Pennsylvania, Ohio, Indiana, shipments. During the war, large diameter trunk lines West Virginia, and Kentucky to newly discovered fields (20-24 inch) proved capable of transporting considerable in Texas, Oklahoma, Louisiana, and California. By 1940 amounts of oil at a low cost relative to the prewar small more than 85 percent of crude supplies to eastern refin-' diameter lines (less than 16 inches). Such a situation eries were derived from production areas located west of marked the beginning of a new era in U.S. pipeline con- the Mississippi River. struction characterized by the building of large, long To aid acceleration of oil pipeline construction during, distance pipelines. This trend began in the 1950's and World War 11, Congress passed the Cole Act in 1942 continues to the 'present. Many of the older lines have which allowed the President to grant a petroleum pipe- been removed, used for the transport of products (gaso- line the right of eminent domain when acquiring land line, kerosene, turbine fuel, diesel fuel, and heating oil), and rights-of-way during wartime. Within two years this or converted for the transmission of natural gas. 7 Of At 4V AV Focus on Alaska In the early 1900's, many oil seeps were discovered in Alaska, but further exploration determined that these were not economically recoverable. However, Barrow Arctic Ocean discoveries of oil along the south-central coast PRUDHOE BAY FIELD of Alaska in the 1950's and 1960's led to a Beaufort sea National Petroleum modest production peak in 1970 of about Reserve in Alaska Arctic 80 million barrels. Following the North Colvillee Natio al Slope discovery in 1968, oil consultants p,nt Hope a---- Wildlife' estimated that the new field contained Bering Sea rooks Range North Range slope 5-20 billion barrels and speculated that there may be 50 billion barrels. Seward Peninsula Nome Fairbanks Range V Z 0 Anchorae VALDEZ N 0 Gulf of Alaska Kodiak Island ck @0 9 59 190 150 ape, Scow After a series of court injunctions and trials, the At present, about 9.6 billion barrels in the Prudhoe Trans-Alaska Pipeline Act of 1973 authorized con- Bay field has proved to be economically recoverable. struction of the Alaskan oil pipeline. Work began in Other North Slope reserves and those under the Beaufort 1974 under the direction of Alyeska Pipeline Service Sea are expected to bring the total proved reserves in Company and involved the construction of almost 800 North Alaska to 15.1 billion barrels by 1989. As these miles of 48 inch pipe, twelve pump stations, three crude reserves are brought on line, the peak of production topping plants (which provide turbine fuel for pump sta- should occur in 1985 at about 3. million barrels a day tions), an oil storage and shipping complex at the and account for 21 percent of the total U.S. crude pro- southern terminus in Valdez, and various other support duction. Maintaining the flow after this time will be de- facilities. The pipeline is planned to deliver 600 thou. pendent upon new findings in existing fields or from sand barrels a day beginning this year, and reach a nor- potential new sources such as the National Petroleum mal flow of 1.2 million barrels a day by 1978. Reserve in northwest Alaska. 2 A Problem of Surplus During the debates and hearings on the proposed a The rate of decline in domestic crude production trans-Alaska pipeline, the expected pipeline flow was not began to slacken. anticipated to exceed present West Coast demand. At 0 The Congress authorized full production from the that time crude oil prices had remained relatively stable Naval Petroleum Reserve No. 1 (Elk Hills, Cali- since the 1950's and, until 1970, the major oil producing fornia) which by 1980 will supply oil at a rate of states had held production well below full capacity. Low 200 to 250 thousand barrels per day to the West cost foreign crude overshadowed the world petroleum Coast (if production is not curtailed). market. Just prior to the 1973 Arabian oil embargo, the U.S In 1974 and 1975 higher oil prices, economic slow- petroleum market was influenced by the following fac. down, and energy conservation measures resulted in a 6 tors: percent decline in oil demand. Since that time, however, domestic consumption has been increasing as the econ- � Due to many elements including rising costs, low omy recovers. Current price and conservation measures, cost foreign oil, and the lack of access to unex- however, are expected to result in an estimated increase plored Federal lands (outer continental shelf and in consumption of 2 percent a year as compared to a Alaska), domestic oil drilling declined after 1959. 4 percent rate forecasted before the embargo. � As a result, domestic oil reserves (except for the With this information, most forecasts of petroleum Prudhoe Bay field added in 1970) declined after supply and demand on the West Coast predict a crude 1966. surplus when North Slope oil is available. Generally, this � Domestic production reached a peak in 1970 and surplus is created by a West Coast crude supply which is subsequently declined steadily. in excess of demand. � Meanwhile, domestic oil consumption increased, reaching a pre-embargo peak in 1973 of over 17 million barrels per day. � The ever widening gap between domestic con- WEST COAST 'lied with low sumption and production of oil was fi SUPPLY AND DEMAND BALANCE cost imports. After the embargo, the historical trends in the factors (Millions of Barrels which determined petroleum supply and demand changed drastically. A new situation prevailed which was per Day) characterized by expensive imports (up to $12 a barrel, 1978 1980 1985 excluding import fees) and high domestic crude prices Alaska and West Coast 2.4 2.9 3.3-3.7 (an increase from $3 to over $8 or to $5 when adjusted Production for inflation). These factors determined the following Foreign Imports .5 .3-.5 .3-.5 conditions in 1974 and 1975: - - � Until the enactment of the Energy Policy and Con- Total Supply 2.9 3.2-3.4@ 3.6-4.2 servation Act in December 1975, price controls West Coast Demand 2.4 2.3 2.9 continued for "old" oil (on the market before the - - embargo), but "new" oil brought into production Projected Excess .5 .9-1.1 .7-1.3 after the embargo sold at the wellhead at market price. � For the first time in recent history, domestic de- mand declined. A basic assumption of all forecasts has been that pro- � New drilling sites increased dramatically in 1974 duction would not be constrained to maintain an equi- and 1975 to the highest level since 1962. librium between West Coast supply and demand. Based � An accelerated pace of offshore leasing was under- on this assumption, a need exists to develop a transpor- taken. tation method for moving the excess oil from the West � The higher prices stimulated the use of advanced Coast to other parts of the U.S. such as the central and and costly processes to increase oil recovery in eastern areas, which are becoming increasingly dependent existing wells. upon foreign crude sources. 3 Transportation Alternatives The short-term options for handling the projected West Coast surplus of North Slope crude include inter- N 6@ national exchanges, transshipment through the Panama - I Canal, transport by railroad, transport by tanker around JI @ Cape Hom, Canadian exchanges (for present imports) to offset crude curtailments to the Northern Tier States (Washington, Oregon, Idaho, Montana, North Dakota, Minnesota, Michigan, Wisconsin, Illinois, Indiana, and Ohio), reduced Northern Slope production, or possibly strategic storage. By the end of 1978 at the earliest and probably in 1979, more permanent long-term solutions could be realized in the form of the Trans-Provincial Pipeline, the SOHIO Pipeline, and others. By the end of 7- 1979 or during 1,980 a Northern Tier Pipeline could be realized as well as a pipeline across Central America. On line in 1981 could be the proposed deepwater Gulf ports Tanker at Sea of LOOP (Louisiana Offshore Oil Port) and SEADOCK (a deep-water mooring in the Gulf of Mexico), the rever- there it would be transferred to Texas by way of a 1,026 sal of the Four Comers Pipeline which currently supplies mile pipeline system composed of 790 miles of natural crude to southern California, and perhaps an equitable gas pipeline converted for the transportation of crude oil. balance between crude supply and demand on the West The conversion of the natural gas pipeline for oil Coast. transmission has caused public concern that such action The pipeline, proposed by the Northern Tier Pipeline may preclude the transportation of adequate natural gas Company is in the initial stage of federal-state permitting supplies to meet future California demand. It has been processes. The project involves the construction of a 1,550 estimated that the loss of one 30-inch pipeline would mile, 740 thousand barrel a day pipeline for receiving Alas- reduce the throughput capacity of the Southern Cali- kan and low sulfur foreign crude at Port Angeles, Washing- fornia interstate gas network by about 5 percent. The ton and transporting it to refineries in Montana and North pipeline delivery curtailment is a result of rapidly de- Dakota and to Clearbrook, Minnesota. From there, con- clining supplies of natural gas to California from sources nections would be made with existing Minnesota and located east of the State boundary. The Bureau of Land Lakehead Pipelines. This project may be a means of trans- Management has indicated that a very unlikely combina- porting Alaskan crude to Midwestern and Eastern U.S. In tion of circumstances must occur before the abandoned addition, a major function of the pipeline would be to capacity would be required. supply Northern Tier refineries, which becomes increas- Another area of public concern centers on the poten- ingly important with decreasing Canadian deliveries. tial of further deterioration of a degraded air quality Emerging environmental issues related to the project are condition in the Los Angeles Basin. At present, tempera- air and water pollution within the Puget Sound area. ture inversions occur on 90 percent of the mornings. Such a condition, together with low wind speeds, causes entrapment and poor dispersion of pollutants such as The SOH10 Proposal oxides of nitrogen and reactive hydrocarbons. The abun- dant sunshine in this region promotes photochemical re- A proposal for the transportation of North Slope actions of these pollutants which produce ozone, a pri- crude, which is furthest along in the permitting process, mary constituent of smog. The SOHIO proposal poses a is sponsored by the SOHIO Transportation Company of threat of releasing more pollutants, especially hydro- California, a wholly owned subsidiary of the Standard carbons, into the air during off-loading of oil from Oil Company of Ohio.-The Company proposes a 3,500 tankers and tugboats, and from storage tanks. In order mile sea/land transportation system to move North to assure that no "net" increase in air pollution will Slope crude from the trans-Alaska pipeline marine ter- result from this "new stationary source," SOHIO pro- minal at Valdez, Alaska, to Midland, Texas. From Mid- poses to use several mitigating measures which may in- land the crude would be distributed eastward through ex- clude the use of low-sulfur fuel, seven fully segregated isting pipeline networks. A tanker fleet would carry the and four partially segregated ballasted tankers, closed crude 2,000 miles to the Port of Long Beach, California inerting systems, exhaust scrubbers, avoidance of purg- where it would be delivered to a storage terminal. From ing inside the port, use of vapor recovery systems on 4 storage tanks, restricting the ballasting of cargo tanks likely be a major Alaskan crude port destination). Either while in the South Coast Air Basin, use of foam-covering of these locations, if it were to become the principal systems to blanket tank spills, oil spill contingency port location for Alaskan tankers, will require new con- plans, and the abandonment of 33 existing storage tanks. struction of berthing docks, storage tanks, and auxiliary . Since the transportation of North Slope oil to Long facilities to handle the number and size of the anticipated Beach or any other West Coast port presents the possi- Alaskan tanker fleet. Of the U.S. tanker ports, the 1.2 bility of oil spills, several analyses have been performed million barrels per day expected from the.Alaskan pipe- to determine the likelihood of their occurrence and ex- line in 1978 far surpasses the 0.14 million barrels per day tent. With respect to the SOHIO project, the most likely currently handled by the Long Beach and Puget Sound places for accidents resulting in major spills are in Prince port areas, as it does virtually every. other U.S. port. William Sound, Alaska, and in the Santa Barbara Chan- The number of trips to the Puget Sound area has been nel off Southern California. There is a greater possibility estimated to range from 400 per year to 600 per year, for severe damage to the coastline along the southern depending on the tanker fleet mix. Should tanker size part of the route from Valdez to Washington, Oregon, or limitations be imposed within Puget Sound (e.g., a maxi- California unloading sites, as tankers will be traveling mum of 125 thousand dwt), then the 600 visits per year closer to shore. would be necessary. If this size limitation were not im- posed, or if a port location outside of Puget Sound were Crude 0 i I Tankers chosen (e.g., Port Angeles), then the lower figure is more likely. For the Port of Long Beach area, specifically the A major part of the transportation network that will SOHIO project, estimates have indicated that aipproxi- carry Alaskan crude oil to the lower 48 states involves mately 280 visits per year (based on an average of a two large crude oil tankers ranging in size from 50 thousand week round trip for the 12 SOHIO ships) would occur deadweight tons (dwt) to 200 thousand dwt. The num- from tankers carrying Alaskan crude oil. The 280 visits ber and size of these tankers calling at various West would account for 700 thousand barrels per day, with Coast ports will be a function of interacting factors such the remaining 500 thousand barrels delivered to other as port location relative to Valdez, Alaska, the amount areas in Los Angeles/Long Beach, Puget Sound, San of crude oil to be delivered, crude oil economic market, Francisco, and the Panama Canal. It is recognized that and the location of proposed major west-east pipelines. the movements of these tankers and their dockside oper- The current West Coast port areas expected to handle ations pose substantial environmental hazards of oil pol- a portion of the Alaskan crude are in or near Puget lution due to accidental and operational spills and Sound, Washington, and the Los Angeles/Long Beach area degradation of air quality due to the release of crude oil (San Francisco, due to harbor depth limitations, will not vapors and tanker stack emissions. 7 177 NOW A.&M -7t ow 44' Tanker in Port, Valdez, Alasku 5 Environmental Air Quality Issues Assuming that one or more of the West Coast port 210 tons per year, again dependent on whether transit alternatives will be chosen as an entry point for Alaskan time is included. Carbon monoxide and particulate emis- crude, the air quality issues focus on the impact of large sions are minimal and have not been an issue (particu- crude oil tankers and of crude oil storage tank facilities lates are estimated to be 40 tons per year and CO esti- on the immediate port area and its associated air basin. mates have generally not been calculated). 7 In the loading port of Valdez and at possible unloading The outstanding issue involves the release of hydro- sites along the Washington, Oregon and Northern Cali- carbons which, with NOx, are precursors to the forma- fornia coasts the issue is one of possible degradation of tion of oxidants. The operations of ballasting in non- ambient air quality in areas that are, for the most part, segregated ballast tankers and purging by tankers may currently meeting state and federal air quality standards. involve the release of large quantities of hydrocarbon For the southern California alternatives, and specifically vapors in or near port. the SOHIO project at the Port of Long Beach, the issue is Ballasting involves taking, on board sufficient water to one of possible degradation of air quality at a time when permit unloaded ship's screws and rudders to be low extensive efforts are being made to bring poor air quality enough below the surface ;to control the ship's move- to within state and national air quality standards. ments. Approximately 15 percent of the ship's dwt is The majority of emissions which could emanate from necessary to leave port and 35-50 percent of the dwt is Alaskan tankers are in the form of escaping hydrocarbon necessary for open sea operation. In nonsegregated bal- (HC) vapors from onboard and fixed storage tanks and lasted tankers water is placed in the empty crude storage oxides of nitrogen (NOx) and oxides of sulfur (SOx) causing hydrocarbon vapors to be displaced to the from stack emissions during the offloading procedure atmosphere through the tanker's vents. (The offloading procedure for large tankers involves Purging of empty cargo tanks is performed primarily using onboard engines at about 80 percent full power for before tank washing when a new cargo type is to be 10-12 hours to pump the crude to shore.) introduced or when human access to the cargo tank is Estimates based on the SOHIO project, the proposed necessary for maintenance. Air or an inerted (oxygen major terminal at the Port of Long Beach for handling ap. poor) gas mixture is used to displace the hydrocarbon proximately 700 thousand barrels per day of Alaskan crude (HC) vapors that are present from oil clinging to the (involving approximately 280 tanker visits per year), in- tank sides and bottom. The range of HC estimates that dicate that on a yearly basis SOx emissions could range could occur is extremely large, reflecting differing from 220 tons per year to 880 tons per year. The ranges assumptions as to the operations to be performed and are based on differences in fuel sulfur content (0.5-2.0 the types of tankers to call. For the SOHIO project, the percent). If transit time in the port vicinity is included, yearly estimates have run from essentially zero HC emis- the range would be from 500-2,000 tons per year. It is sions to as high as 10 thousand tons per year. The lower evident that requiring low sulfur fuel to be burned near figure represents a fleet of fully segregated ballast tank- or in port greatly reduces these emissions. NOx emis-. ers and no release of HC to the atmosphere from tank sions are estimated to range from 120 tons per year to cleaning (purging) operations. The latter figure represents "A RM Problems 1k 4 A 41ir 1`@ A W- ft - Ak emissions that could occur if ballasting and tank cleaning emissions. Currently, inerted tankers use once occurred while in port and along the coast near port. through scrubbers to reduce the potential of corro- An additional source of hydrocarbon emissions in- sion in the cargo tanks due to Sox. However, only volves the large capacity crude oil storage tank facilities 15 percent of the stack gas is currently diverted that would be needed at a port terminal. Estimates made for this purpose. for the SOHIO project of yearly hydrocarbon emissions * Vapor Recovery Systems-To avoid vapor loss in from these facilities indicate that approximately 365 storage tanks and possibly in tanker loading and tons per year may enter the atmosphere. offloading operations, hydrocarbon vapor recovery Analyses of the relationship between emissions and systems may be feasible. their effects on air quality have, to date, been inconclu- 0 Low Sulfur Fuel-The sulfur content of shipboard sive. Most of the analyses have involved "worst-case" fuel used to power the ship while underway near situations for the evaluation of the potential for hourly port or while in port offloading could be kept to a and daily air pollution standards violations. Estimates of low level through the use of special "in port" fuel between 1-15 parts per hundred million (pphm) maximum storage facilities. Some of the Alaskan trade increase in hourly SOX concentrations; 4-22 pphm maxi- tankers will use this mechanism to reduce sulfur mum increase in hourly NOx concentrations; and 1-8 oxide emissions. pphm maximum increase in oxidant concentrations due Purging In/Or Near Port-Since purging cargo to hydrocarbon and NOx emissions have been reported tanks would be the single largest source of hydro- in the analysis of the SOH10 project. The range in results carbon emissions in port, legislation to prohibit is due to varying model assumptions with respect to such operations, except under emergency condi- meteorological conditions and emission rates. tions, could be enacted. However, methods of en- There are several measures that can be taken to sig- forcement such as onboard monitoring would be nificantly reduce adverse impacts upon air quality in or necessary and the legal authority for enforcement near port locations. These include: would have to be identified. � Minimum of 35 percent Ballast Capacity-While The legal authority for controlling air emissions in the majority of the world's tankers do not have port and once a tanker is underway has become an im- segregated ballast, both the Inter-Governmental portant issue. The placing of constraints on allowable Maritime Consultive Organization (IMCO) and operations while in port may be difficult due to the U.S. Ports and Waterways Act of 1972 require common carrier status of a port facility (e.g., tankers new vessels of 70 thousand dwt or more to have unable to meet the constraint requirements could not fully segregated (35 percent) ballast facilities. It is use the facility). After getting underway, the tanker cap- expected that many of the large Alaskan trade tain, Coast Guard, Environmental Protection Agency, tankers will have this capability. and/or the local or state agency rnay each have varying � Inerting Systems-The use of flue gas from authority over operations. Current statutes are not ex- tankers' stacks to provide an inert (oxygen-poor) plicit as to where legal responsibility for underway atmosphere in the cargo tanks can eliminate the tanker air emissions lies and no explicit limiting regula- need to vent hydrocarbon vapors in port. tions exist. In California, this lack of explicit legal au- � Flue Gas Scrubber-It may be possible to scrub all thority has been a key factor in the evaluation of the flue gas emissions while in port to reduce SOX proposed SOHIO project in the Port of Long Beach. 7 Environmental Water Issues Many sources of pollutants may impair water quality ever, these areas may provide for efficient contain- as a result of the construction and operation of pipe- ment of spilled oil). lines, marine terminals, and associated tanker move- All of the tankers which will transport the North ments. Such sources include downstream sedimentation Slope crude to U.S. ports will be subject to the regula- from construction at stream crossings, oil spills from tions of the Merchant Marine Act of 1920, commonly pipeline breakage or leakage, the discharge of water used known as the Jones Act. This act requires that such for hydrostatic testing, the flushing of ballast tanks, dis- coastal movement between domestic ports be carried out charges of bilge water and sewage, and turbidity during by U.S. built and owned tankers operated by U.S. mas- dredging of harbor sediments. Many of these sources can ters and crews under the U.S. flag. Currently, these ves- be easily abated or controlled. sels are subject to Coast Guard regulations which re- Recent data on West Coast tanker spills indicate the quire tankers larger than 70 thousand dwt to have following: segregated ballast which serves as protection for the � There is high variability in the amount of oil cargo, two slop tanks (for retention of tank washings, oil spilled from year to year. Catastrophic spills tend residues, and dirty ballast residues), and an oily residue to distort trend data. tank for the containment of oil leakage and sludge. The � Tankers account for 20 percent of the spills and Coast Guard plans to extend such standards to U.S. 34 percent of the amount of oil spilled. Marine vessels in foreign trade as well as foreign vessels entering terminals account for 9 percent of the spills, but U.S. waters. Recently, the Coast Guard has proposed only 1 percent of the volume. additional regulations to control oil emitted during its � Other sources of spills include pipelines, storage transfer among vessels and transfer facilities. These facilities, nontanker vessels, and miscellaneous measures are intended to reduce substantially the amount transportation modes such as tank trucks and rail- of oil released to the ocean by U.S. seagoing tank vessels road tank cars. as well, as foreign tankers in U.S. waters. Since existing As much as 70 percent of oil spill incidents are requirements apply to Jones Act tankers and therefore attributable to personnel errors. ' to tankers carrying North Slope crude to U.S. ports, the There does not appear to be a relationship be- entire fleet of tankers carrying North Slope oil is expected tween tanker age or size and the frequency of spill to possess fully segregated ballast by 1980. Also by 1980 incidents. approximately 50 percent are expected to have collision Many spills are associated with the tanker-terminal avoidance radar systems and about 35 percent to have interface and indicate that in-port terminals gener- double bottoms or hulls to reduce the potential risk of ally represent higher risk areas for oil spills (how- cargo tank ruptures from grounding or minor collisions. J@' 0, ZT1, Ilk f/ A OEM, zh, :t7 __A zi 71_ Waterfall, Lush Surroundings, Alaska 8 Problems 4`1 RZ, T, 0 T@r AL Landissues Land issues center on the use of the coastal zone for Today these and other routes such as that of the the construction of marine terminals and support facili- Trans-Mountain and Trans-Provincial pipelines which ties. Induced development as a result of such projects generally follow the original route of the Trans-Canadian may require large areas of the coastal zone, and agri- Pipeline (an overland alternative to the trans-Alaska cultural and urban areas for refineries and petrochemical pipeline), are envisioned not only to serve Eastern U.S. industries. The construction of west-to-east pipelines markets but also to provide a source of crude to the across national forests and desert areas poses a threat to Northern Tier States. the environment. The deterioration of natural areas and The solutions, in the form of proposed transportation decreased productivity of agricultural lands will need to routes, must relate to one or both of these problems: be mitigated. 0 To dissipate the expected West Coast crude ex- cess-hopefully by movement to demand areas east of the Rocky mountains. Immediate Issues 0 To supply the Northern Tier States which are con- The search for a system to carry the North Slope fronted by a curtailment in oil imports from Can- crude to market has been in effect since an Alaskan ada by 1982. pipeline was first proposed in 1969. By 1972 the follow- In the face of these problems, the Federal Govern- ing major alternatives were being evaluated: ment must respond in a manner consistent with the 1. New pipelines from the U.S. West Coast to mar- Trans-Alaska Pipeline Act to assure equitable allocation kets east of the Rockies. of North Slope crude oil: 2. Selling Alaskan oil to Japan in return for increased Section 410. The Congress declares that the crude oil on the North Slope of Alaska is an important imports on the East Coast of the United States. part of the Nation's oil resources, and that the 3. A new pipeline in Central America for transporting benefits of such crude oil should be equitably Alaskan oil to East Coast markets. shared, directly or indirectly, by all regions of the 4. Transporting the oil through the Panama Canal to country. The President shall use any authority he Gulf Coast ports. may have to insure an equitable allocation of avail- able North Slope and other crude oil resources and 5. Shipping oil around Cape Horn to East Coast mar. petroleum products among all regions and all of kets. the several States. The environmental impact statement process will be Information Needs used by Federal agencies to improve decisions affecting the environment and provides a useful tool to incorpo- rate public opinion, as well as that of diverse agencies, In meeting the challenge of assuring environmental into the decision-making process. Currently this process compatibility in the face of developing Alaskan and off- is being applied to two proposed alternatives for the shore western oil reserves, new questions need to be movement of North Slope crude. An environmental addressed: impact statement has been prepared by the Bureau of 0 How will air quality impacts be forecasted for new Land Management (Department of the Interior) for the oil terminals to be located in remote areas where SOHIO proposal, and a draft environmental impact air quality data are not adequate? Baseline data statement is being prepared by the Department of the may need to be collected. Interior for the Northern Tier Pipeline proposal. 0 What are appropriate assumptions relating to vessel In the future, changes in the sources of crude sup- traffic, emissions, and meteorological conditions plied on the West Coast are inevitable. Should an opti- when modelling air quality impacts associated with mistic rate of Northern Alaskan crude production be oil tankers? realized, the West Coast may be subjected to a substan- * What is the state-of-art and potential for use of tially greater excess of crude supply over demand. In- vapor recovery systems, automated monitoring creased production, above current expectation, for the systems, and exhaust scrubbers when applied to oil Bering Sea, the Aleutian Island chain, the Gulf of tankers? Alaska, and the West Coast outer continental shelf could 0 Is a vessel traffic control system warranted for the further aggravate a surplus situation. Estimates of re- West Coast? Would such a system be efficient? coverable Alaskan oil range from 12 billion to over 76 Would it be cost effective? billion barrels. How do strict pollution control measures imposed The problem which emerges is how to handle the on the proposed SOHIO project create a disincen- potential surplus. As many as 7,500 miles of pipeline tive to companies proposing similar energy solely within Alaska may be required. Future Alaskan projects? production may necessitate a new overland pipeline pas- sing through Canada and a number of west-to-east U.S. pipelines. Thus, the potential for a large Alaskan and West Coast crude production to be realized within the next decade may require the development of a highly flexible and integrated crude oil distribution system. S. 'g" @Jj "A @ Jloj i, A Port of Valdez, Alaska 10 FOR FURTHER READING Joint Hearing on the Potential Problems Associated with the Delivery of Crude Oil from Alaska's North Slope. Committees on Interior and Insular Affairs and Commerce. United States Senate, Washington, D.C. 1976. This is the record of a Senate hearing convened on September 26, 1976 to examine problems in markets. Statements were given by representatives of the Department of the Interior, Department of Commerce, Federal Energy Administration, and various senators. A copy may be obtained from the U.S. Government Printing Office, Washington, D.C. 20402. Environmental Impact Statement Crude Oil Transportation System: Valdez, Alaska to Midland, Texas, Department of Interior. Bureau of Land Management, Washington, D.C. 1977. This is an environmental impact statement (EIS) prepared for the SOHIO proposal. A limited number of single copies of the draft are available and may be obtained by writing to: Public Affairs Office, Bureau of Land Management, 2800 Cottage Way, Sacramento, California 95825. Review of Environmental Issues of the Transportation of Alaskan North Slope Crude Oil EPA-60017-77-046. Environmental Protection Agency. Office of Energy, Minerals, and Industry, Washington, D.C. May 1977. This report contains substantive information from which these proceeding highlights have been taken. The report may be obtained by writing to the Office of Energy, Minerals, and Industry, RD-681, U.S. EPA, Washington, D.C. 20460. An Analysis of the Alternatives Available for the Transportation and Disposition of Alaskan North Slope Crude. Federal Energy Administration, Washington, D.C. 1976. This report was prepared for the Federal Energy Administration for the Energy Re- sources Council and examines supply and demand issues, evaluates transportation alter- natives, considers environmental problems, and analyzes potential markets for North Slope crude. A limited number of copies are available and may be obtained by writing to: Office of Energy Resource Development, Federal Energy Administration, Washing- ton, D.C. 20461. Mitigating and Offsetting Emissions from West-East Oil Movement. Nehring, Richard. WN-9719-CEQ. Rand Corporation, Santa Monica, California. 1977. This document identifies policy options for reducing adverse impacts on air quality associated with the transportation of Alaskan oil eastward through a West Coast port. The study was undertaken under contract with the Council on Environmental Quality on the basis of an interagency agreement between it and the U.S. Environmental Protec- tion Agency. To obtain a copy, write: Council on Environmental Quality, 722 Jackson Place, NW, Washington, D.C. 20006. Draft Environmental Impact Report: SOHIO West Coast to Mid-Continent Pipeline Project. Port of Long Beach and the California Public Utilities Commission., Long Beach, Cali- fornia. 1976. This is a draft environmental impact report, similar to an EIS, prepared by the Port of Long Beach and the California Public Utilities Commission in compliance with the California Environmental Quality Act. A limited number of copies are available and may be obtained by writing: The Port of Long Beach, P.O. Box 570, Long Beach, California 90801. U.S. ENVIRONMENTAL PROTECTION AGENCY POSTAGE AN D FEES PAID 4C Research and Development Technical Information Staff U.S. ENVIRONMENTAL PROTECTION AGENCY EPA-335 B 0 Cincinnati, Ohio 45268 Third Class PROO OFFICIAL BUSINESS - PENALTY FOR PRIVATE USE $300 - AN EOUAL OPPORTUNITY EMPLOYER OA. TENNESSEE VALLEY' AUTHORITY jr CY) LO '30 @r- PR(% 0@ or if-0 sr4;, 0 0 00 AM T) +0--,- (0 TENNESSEE VALLEY CY) AUTHORITY In AA +0% AM Ic x1P T1 b. Ic TENN VAL AUTH *44 rts V, Nr V OA %E Isp T 'N E NESSEE VALLEY AUTHORITY W4