US FERC guide seeks to reduce public fears over LNG safety

US FERC guide seeks to reduce public fears over LNG safety

Washington (Platts)--29Apr2005


The US Federal Energy Regulatory Commission, hoping to lessen concerns over
the hazards of liquefied natural gas terminals, has issued "What All Citizens
Should Know," a 10-page information guide that uses a question-and-answer
format to address rising public fears over the explosive potential of LNG
shipments. 

A FERC spokesman characterized the guide, and an upcoming special page on the
commission's website devoted exclusively to LNG, as a "one-stop shop" for
groups and individuals in areas around proposed import terminals. LNG imports
have not resulted in a major accident, the guide noted, and the one deadly
onshore accident in 1944 occurred because of engineering flaws in a tanker.
The guide seeks to reassure readers that efforts by FERC and other federal and
state agencies "strive to assure the safe transit to and storage at the
terminal." The guide comes as FERC grapples with tensions between the booming
number of applications to build new LNG import terminals and push back from
local and state interests concerned about the potential dangers.

James Jensen, a Massachusetts consultant who advises public and private
interests on the LNG industry, said he doubts FERC has enough credibility to
assuage concerns about the flammability of LNG and the potential that a
well-planned terrorist attack could breach tanker hulls. "It strikes me that
the government is trying to do something constructive, but I'm not sure it's
terribly effective," Jensen said. 

The problem with the LNG siting debate is that terminals are imposing and too
close to communities, Jensen said. "People don't understand the risks very
well," said Jensen. LNG has been tested extensively, he said, but there has
never been a worst-case scenario test, and the physical evidence of how LNG
would behave in a disastrous scenario is minimal. "There are some risks and
that tends to multiply the problem." Public interest groups fighting efforts
in Congress to minimize states' roles in siting terminals have been unwilling
to accept the FERC position that a deadly accident is unlikely. The guide
probably won't change that, Jensen said.

This story was originally published in Platts Natural Gas Alert
http://www.naturalgasalert.platts.com

Please visit: www.platts.com

Their coverage of energy matters is extensive!!.