Colonial Pipeline defends operational changes against industry objections

financialpost.com

Colonial Pipeline Co. is defending its plan to make changes to its fuel pipeline operations. The company operates the largest gasoline pipeline in the U.S. and says these changes will improve pipeline safety and reliability. They also claim it will create more space for shippers. In a filing with the U.S. Federal Energy Regulatory Commission, Colonial explained that the changes would help reduce dangers associated with "pressure cycling." This occurs when fluctuations in internal pressure stress the pipeline walls. By moving fewer products through the pipeline, Colonial hopes to avoid slowdowns and shutdowns. Exxon Mobil, Chevron, Trafigura, and other refiners have opposed these changes. They have asked regulators to block Colonial's plans. Their concerns include potential increases in operational issues and costs. Colonial’s pipeline transports about 2.5 million barrels of fuel daily from Texas and Louisiana to the East Coast. This region relies heavily on this pipeline, especially as some refineries have closed. If the proposal is approved, the changes could start in September.


With a significance score of 2.7, this news ranks in the top 36% of today's 29436 analyzed articles.

Get summaries of news with significance over 5.5 (usually ~10 stories per week). Read by 9500 minimalists.