Watching Government: California's gas leak

Jan. 18, 2016
Could methane leaking from a Southern California Gas Co. storage facility since Oct. 23, 2015, lead to federal gas storage regulations? It's a fair question as the Sempra Energy subsidiary and seven California agencies try to stop the leak at SoCalGas's Aviso Canyon Storage Facility near Los Angeles.

Could methane leaking from a Southern California Gas Co. storage facility since Oct. 23, 2015, lead to federal gas storage regulations? It's a fair question as the Sempra Energy subsidiary and seven California agencies try to stop the leak at SoCalGas's Aviso Canyon Storage Facility near Los Angeles.

SoCalGas notified state and county officials immediately. The utility began drilling a relief well on Dec. 4, 2015, and began to pump cement into the leaking well's base to stop the gas flow and permanently seal the well. It expects to stop the leak in late February or early March. It also launched a relocation program for affected residents at the nearby Porter Ranch subdivision under a Dec. 24 agreement with the Los Angeles County Attorney.

Gov. Jerry Brown (D) declared a state of emergency in connection with the matter on Jan. 6. He ordered SoCalGas to take all necessary and viable actions to stop the leak and maximize daily withdrawals from the storage facility; directed California's Public Utilities Commission to ensure that the utility covers all costs related to the leak and associated responses while protecting ratepayers; and ordered state lawmakers to promulgate new regulations.

These new rules would require at least daily inspection of gas storage well heads using infrared imaging or other leak detection technology; ongoing verification of all gas storage wells' mechanical integrity; ongoing measurement of annular gas pressure or annular gas flow within wells; regular testing of all well safety valves; minimum and maximum pressure limits for each gas storage facility in the state; and a comprehensive risk management plan for each facility that evaluates and prepares for risks, including corrosion potential of pipes and equipment.

In response, SoCalGas Chief Executive Dennis Arriola said the utility has been communicating with Brown's office and several state agencies, and appreciates their continued support. State Sen. Fran Pavley (D-LA and Ventura counties) introduced legislation on Jan. 11 in response to Brown's orders.

'More than a nuisance'

Three US House Energy and Commerce Committee Democrats sent a letter on Jan. 7 to US Transportation Sec. Anthony Foxx and Environmental Protection Agency Administrator Gina McCarthy asking what the federal entities were doing to help mitigate the leak's potentially disastrous consequences. "This is far more than just a nuisance for neighbors," Reps. Frank Pallone Jr. (NJ), Bobby Rush (Ill.), and Diana DeGette (Colo.) wrote.

That same day, the US Pipeline and Hazardous Materials Safety Administration said it is providing technical assistance and support to state and local regulatory agencies related to their response and oversight operations. Its pipeline and safety specialists remain on-site at the Aviso Canyon command center, PHMSA said.

About the Author

Nick Snow

NICK SNOW covered oil and gas in Washington for more than 30 years. He worked in several capacities for The Oil Daily and was founding editor of Petroleum Finance Week before joining OGJ as its Washington correspondent in September 2005 and becoming its full-time Washington editor in October 2007. He retired from OGJ in January 2020.