SAFE SHIPPING FOR CANADA’S OIL
New construc tion technolog y, stringent and continuously improving regulations, and years of industry experience make Canada’s oil shipping industry well- equipped to accommodate increased tanker traffic on the West Coast should new pipeline projects proceed, concludes the leading independent consulting firm IHS CERA.
In addition, should an incident occur, Canada has access to more than $ 1.3- billion in compensation, exceeding what is generally available internationally, says the IHS CERA report, Assessing Marine Transport for Oil Sands on Canada’s West Coast.
“There have been a great many questions from the public asking what it would mean to ship more crude oil off Canada’s West Coast,” says Jackie Forrest, IHS senior director and head of the IHS CERA Oil Sands Energy Dialogue. “The purpose of this study was to gather the facts and to inform the debate.”
BY THE NUMBERS
Oil currently accounts for one third of all Canadian cargo. It is the largest international commodity handled by the shipping industry in Canada, about equal to that of Australia or Norway and about one- tenth of that of the United States or China.
Despite a near doubling of the world’s oil tanker fleet over the past decade, the IHS CERA study found that the frequency and rate of oil spills have beeen reduced dramatically. No oil has been spilled in the vast majority ( 94%) of incidents that involved large tankers, and where a spill did occur, the average volume fell by 75%, compared to the previous decade.
Currently, there is less West Coast tanker activity compared with the East Coast. About 3,500 tankers visit Canada’s eastern region each year, while the West Coast has less than 500. If approved, the Northern Gateway and Trans Mountain expansion projects would bring about 750 additional tankers to the West Coast annually, still well below the number safely navigating Canada’s East Coast each year.
WEST COAST EXPERIENCE
British Columbia has developed a world- class tanker handling system with an exemplary performance record.
The first recorded tanker shipments on the West Coast were undertaken about 100 years ago and from the existing Kinder Morgan terminal about 60 years ago. “During that time, much of it without the benefit of today’s precision navigation technology, we have achieved an exceptional record of safety,” says Captain Stephen Brown, president of the Chamber of Shipping of British Columbia.
Oil tankers have been moving safely and regularly along the West Coast since the 1930s, according to Transport Canada.
OVERSIGHT AND INNOVATION
Improvements in tanker construction and automation, in conjunction with technology, operational and regulatory changes, have all contributed to safer oil cargo shipments.
Canadian regulation begins with the International Maritime Organization ( IMO), a division of the United Nations whose first convention came into force in 1958, with a mandate to uphold the highest standards in maritime safety, efficiency of navigation, and prevention and control of marine pollution.
IMO membership is comprised of 170 maritime nations represented by national governments. For Canada, membership is represented by senior officials from either Transport Canada or Environment Canada, depending on specific issues under consideration.
Beyond international conventions that provide for the consistent and rigid application of standards, irrespective of where a ship may be owned or registered, individual ports may adopt additional measures to enhance safety within their jurisdiction.
“As an example, for vessels in transit to and from Kinder Morgan we already have a strict, welldefined protocol of escort tugs and times of clear passage. In conjunction with the regulatory agencies and the experience of our marine pilots, we will adopt the same processes for Northern Gateway should it proceed,” says Brown.
An additional layer of regulations related to tanker construction was introduced following lessons learned from the Exxon Valdez disaster almost a quarter of a century ago.
“In 1990, the United States passed the Oil Pollution Act which requires tankers to be built with inner and outer hulls, a measure which would have resulted in no loss of oil from Exxon Valdez. This legislation has now been universally adopted by the IMO, making it impossible to trade single- hulled tankers on the international stage,” says Brown.
VIGILANCE
While technologies and protocols have advanced considerably over the past 10 to 15 years, continued vigilance is necessary to ensure the safety of Canada’s coasts and waters.
The IHS CERA study says if West Coast oil exports increase, Canada’s level of prevention and response should also be expected to rise. Canada is addressing this issue. For example, a Transport Canada review announced earlier this year is tasked to propose improvements toward creation of a world- class tanker safety system. In addition, the regulatory review process for the West Coast projects is likely to result in more recommendations.
“It is an ongoing process that in many cases will lead to additional guidelines and requirements to help mitigate the risks associated with increased tanker movements in the West,” says Forrest.