DOT fines El Paso record $2.52 million for pipeline accident

June 21, 2001
The US Department of Transportation Thursday proposed a $2.52 million civil penalty for the El Paso Energy Pipeline Group for safety violations related to the August 2000 pipeline failure in Carlsbad, NM. It is the largest civil penalty ever proposed against a gas pipeline operator in the federal pipeline safety program.


By the OGJ Online Staff

WASHINGTON, DC, June 21 -- The US Department of Transportation's Research and Special Programs Administration Thursday proposed a $2.52 million civil penalty for the El Paso Energy Pipeline Group for safety violations related to the August 2000 pipeline failure in Carlsbad, NM.

RSPA said it was the largest civil penalty ever proposed against a gas pipeline operator in the federal pipeline safety program.

RSPA Acting Deputy Administrator Edward Brigham said, "The penalties we seek in this case reflect the importance of comprehensive integrity management programs. The importance of thorough risk assessments, training, and communication of vital safety information among all operating elements of a company must be emphasized."

RSPA said the fines are for alleged safety violations identified during an Office of Pipeline Safety investigation following the accident, which resulted in the deaths of 12 people.

RSPA alleged El Paso failed to ensure that qualified personnel perform required internal corrosion control procedures.

It said the pipeline transported corrosive gas on numerous occasions without taking proper preventive and mitigative steps. "This included failing to communicate to appropriate personnel when excessive water content was in the gas stream and when liquids and solids were found, and failing to perform necessary tests for corrosion."

RSPA said El Paso failed to follow procedures for continuing surveillance of its facilities that would have led to action to control collection of liquid at low points, thereby mitigating conditions which led to the accident.

It said the line failed to minimize the possibility of a failure recurrence following a similar incident in 1996. And it did not have an accurate elevation map for lines involved in the accident, which would have shown low points where liquid could accumulate and corrosion could occur.

OPS ordered the pipeline shut down after the accident. RSPA said since then El Paso has performed required hydrostatic testing, internal inspection, repairs to areas with critical metal loss, other forms of direct assessment, revised corrosion control procedures and training, and established a comprehensive integrity management program (OGJ Online, Mar. 15, 2001).