General Industry News

Leak Costs $5.3 Million



Kinder Morgan Energy Partners LP, and SFPP LP, has agreed to pay nearly $5.3 million to resolve its liability under the Clean Water Act, Oil Pollution Act, Endangered Species Act, and California’s Porter-Cologne Water Quality Control Act and Oil Spill Prevention and Response Act.

A total of 200,976 gallons of gasoline, diesel and jet fuel were leaked from a pipeline in three separate instances in 2004 and 2005. The settlement included a $3.7 million civil penalty, and $1.3 million to the U.S. Fish and Wildlife Service, and the California Department of Fish and Game to compensate for natural resources damaged. Kinder Morgan also has agreed to fund restoration projects, implement stringent oil spill prevention policies and re-designate pipelines. The company has further agreed to hire 10 additional line-riders to serve as pipeline inspectors.

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