The Utah Public Service Commission has ordered the shutdown of 21 miles of a natural gas pipeline near Moab. The order against Pacific Energy & Mining Co. (PEMC) came at the request of the Utah Division of Public Utilities after it discovered that numerous operational and emergency violations found by its pipeline safety team during a 2016 inspection still persist.
According to Chris Parker, director of the division, a Hazardous Facility Order was issued against PEMC, which includes a $100,000 civil penalty and a requirement to cease operations within 60 days and to notify all affected entities. The Division of Public Utilities said it had worked with PEMC extensively since the 2016 inspection to try to ensure compliance with the law and the rectification of the problems.
The PEMC pipeline is a 16-inch steel pipe running 21 miles from PEMC’s processing plant in Grand County to join the Northwest Pipeline near the Archview Resort northwest of Moab. Although the pipeline is located in a lightly populated area, its safe operation is critical to public safety in Southern Utah, the division said. There are numerous facilities near the pipeline, including the Canyonlands Field Airport, a public campground and areas of constant travel by outdoor recreationists.
“Natural gas is part of Utah’s economic success and the Division of Public Utilities is committed to minimizing safety risks of natural gas facilities,” said Parker. “PEMC’s practices left us with no confidence in its pipeline’s integrity. Though we are aware of no immediate risk to the public, continued operation is a danger to the public until regulators can be assured of safe practices. I’m proud of our pipeline safety team’s work to ensure the safety of all pipelines, even when they are located in the state’s more remote areas.”
When the case originally came before the commission following the inspection in 2016, PEMC President Tarik Ahmad argued the pipeline didn’t fall under the division’s regulatory authority. However, Parker said that when PEMC took over ownership of the pipeline several years ago, operational changes put it within the state’s jurisdiction, which he said all parties agreed to at the time.
PEMC has the option of appealing the Hazardous Facility Order issued by the commission.