facebook
twitter
rss
account
search
search
 

Liability measure proposed for Canadian pipeline spills

Major oil companies subject to $1 billion in costs no matter who's at fault.
By Daniel J. Graeber   |   May 15, 2014 at 9:44 AM   |   Comments

| License Photo
VANCOUVER, British Columbia, May 15 (UPI) -- Companies operating pipeline systems in Canada will be liable for as much as $1 billion in costs associated with spill cleanup, the government said.

Canadian Natural Resources Minister Greg Rickford announced the new legislation alongside Transportation Minister Lisa Raitt.

The measure requires companies to cover as much as $1 billion in costs and damages regardless of fault. The legislation would give the National Energy Board, the nation's energy regulator, to act independently in how much it seeks from the pipeline companies.

Rickford said the legislation, which could go into force as early as this summer, enhance what he said was a world-class pipeline system regime in Canada.

"Our government is demonstrating consistent, significant action to further enhance Canada's pipeline safety system," he said Wednesday.

Russ Girling, the chief executive officer at TransCanada, said his pipeline company supports any federal action that would strengthen pipeline safety.

"One pipeline issue is too many and we must continue to strive for zero incidents," he said.

Rickford's legislation come ahead of U.S. and Canadian decisions on TransCanada's Keystone XL pipeline to the southern U.S. coast and the Northern Gateway pipeline, an Enbridge project planned for the western Canadian coast.

Only major pipeline companies are subject to Rickford's proposal.

Follow @dan_graeber and @UPI on Twitter.
Contact the Author
Topics: Barack Obama
© 2014 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Most Popular
1
ATM fees on the rise, again ATM fees on the rise, again
2
First A-29 rolls off Florida assembly line for USAF program First A-29 rolls off Florida assembly line for USAF program
3
Saab to overhaul Navy submarine; supply remotely operated vehicles Saab to overhaul Navy submarine; supply remotely operated vehicles
4
Navy orders more Block IV Tomahawk cruise missiles Navy orders more Block IV Tomahawk cruise missiles
5
UAE seeks 4,500-plus MRAPs UAE seeks 4,500-plus MRAPs
Trending News
x
Feedback