HELENA, Ala. -- A large spill on a main gasoline pipeline feeding the East Coast has triggered fuel states of emergency in Alabama, Georgia, North Carolina and South Carolina.
The leak was first detected on Sept. 9 near two of Colonial Pipeline’s pipelines—one carrying gasoline and another distillate products—running near the town of Helena in Shelby County, Ala. About 250,000 gallons or 6,000 barrels of gasoline has leaked into nearby mining retention ponds. Colonial since shut down Line 1, its pipeline carrying gasoline from Gulf Coast refineries to the East Coast. Reuters has described the leak as the largest on the pipeline in 20 years.
The pipeline operator was originally planning to restart Line 1 over the weekend, but had to push it to the following week because poor weather and gasoline vapors have complicated repairs.
In a statement, Colonial said it expects gasoline supply disruptions to first hit areas of Georgia, Alabama, North Carolina and South Carolina, and Tennessee. It plans to move gasoline on its Line 2 pipeline, which typically carries distillate products, to minimize the impact.
Angela Holland, president of the Georgia Association of Convenience Stores, told Atlanta news channel Fox 5 that the group had not gotten any calls yet from its 2,500 members on fuel shortages. “There is a slight disruption in service but we anticipate that to be back on track very soon,” Holland said.
Georgia Gov. Nathan Deal, Alabama Gov. Robert Bentley, North Carolina Gov. Pat McCrory and South Carolina Gov. Nikki Haley issued executive orders this week that suspend federal regulations limiting how many hours fuel delivery drivers can work to keep gasoline supply flowing. It applies only to trucks that deliver to areas supplied by the pipeline. Motor carriers cannot force or allow ill or fatigued drivers behind the wheel, and they must give drivers a set period of rest before they are required to return to work.
News of the repair delay helped push gasoline futures up 6% to hit a session high of $1.4433 per gallon. “If it were to go on a lot longer, it would be a hairy situation,” Robert Campbell, head of oil products markets for New York-based consulting firm Energy Aspects, told Reuters.
The Environmental Protection Agency, meanwhile, has waived Clean Air Act requirements over summer-grade gasoline for more than a dozen counties in the Atlanta and Nashville metropolitan areas, to allow Colonial to more freely ship gasoline.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.