ANOUNCEMENT REGARDING RAIL TANK CAR STANDARDS
(CANADA AND US)
Washington, DC
May 1, 2015
Check against delivery
Introduction
Thank you, Mr. Secretary.
I am pleased to be here today to join Secretary Foxx and announce new safety measures that our governments are jointly taking to strengthen railway safety and the transportation of dangerous goods.
Our two inter-connected rail networks are vitally important, both to our communities and our nations’ economies.
Following the tragic accident in Lac-Mégantic, Quebec, the Transportation Safety Board of Canada launched a comprehensive investigation.
It recommended that Canada develop more stringent protection standards for rail tanks cars used to transport crude oil and other dangerous goods.
One year ago this week, I announced that the Government of Canada would take action to respond to the Transportation Safety Board’s report.
And today, I am proud to join with Secretary Foxx in announcing harmonized Canadian and American regulations that accomplish just that.
Before I explain the measures we are taking, I want to note how pleased I am that we are taking these actions in a spirit of partnership.
Canadian and American officials worked jointly to reach a solution that took into account the railway systems and industries in both of our countries and it is this collaboration that brought us to this important agreement.
I am hopeful the kind of cooperation we have pursued to develop these measures will be a model for future Canada-US collaboration on transportation issues.
New Tank Car Regulations
The new rules we are introducing will do three things.
First, they will require manufacturers to build a new, safer class of rail tank car, called the TC or DOT-117.
The design of this new tank car will include:
- thicker steel shells and heads to improve puncture resistance and structural strength;
- shields to protect the head of the car from being punctured;
- thermal protection and a jacket to better withstand heat from fire;
- protective covers over valves and accessories on top of a tank car; and
- stronger bottom outlet valves to withstand derailments and prevent leaks.
Second, these regulations provide new performance-based standards to build the TC-117 and establish the retrofit schedule for older tank cars.
And finally, the regulations stipulate when Canada and the United States rail operators must phase out the use of DOT-111 and CPC 1232 tank cars.
Timing of the Changes
The Transportation Safety Board of Canada recommended that DOT-111 tank cars be phased out as quickly as possible.
So I am pleased to note today that by implementing this higher standard, we will replace or retrofit the entire fleet of Canadian-regulated rail cars—both DOT-111 and CPC 1232 tank cars—that carry flammable liquids in all packing groups in Canada.
We can never undo the damage that took place in Lac-Mégantic or in any other railway accident.
But we can and must learn from those events and improve our system.
To determine which tank cars to remove from service, our countries followed a risk-based approach.
We are removing the oldest and least crash resistant tank cars first. We considered tank car features such as the steel thickness, head shield protection, whether the cars are jacketed or unjacketed, and the type and volume of flammable liquid they transport.
The schedule we set out aims to strike a balance.
We must increase the safety of rail cars as soon as possible, but we must also provide tank car owners with enough time to comply with the new requirements while railway companies continue to meet shipping demands.
Working with the United States
Because tank cars cross the border between Canada and the United States every day, it’s critical that these regulations apply equally to tank cars in both countries.
That is why the open and transparent process that was followed to jointly develop these regulations included consultations with government and industry stakeholders on both sides of our border.
And, in keeping with this principle to harmonize our safety standards, I have asked my officials to continue to work with Canadian industry in order to determine a Canadian solution that harmonizes with a final U.S. braking rule.
In Canada, the requirement to bring forward a new braking rule does not need to go through the Canada Gazette and can therefore be brought forward quickly.
Enhancing Rail Safety
The tank car standards I am announcing today aim to enhance safety along our rail corridors, but they are just one piece of Canada’s overarching railway safety regime.
I recently ordered trains carrying dangerous goods to reduce their speed when travelling in highly urbanized areas. Last year I required railway companies to share dangerous goods data with municipalities and I put in place regulations to expand the Emergency Response Plans for flammable liquids such as crude oil, gasoline, diesel fuel, aviation fuel and ethanol.
And through improved regulations and inspections, we are ensuring that dangerous goods transported in Canada are properly classified, tested and verified.
All of these actions are making Canada’s railway system safer.
My department continues to work with all its partners—the United States, municipalities, railways, shippers, and the federal government—toward a common goal, one that continues to place the safety of our communities first.
Costs of the changes
Before I conclude, I’d like to make one final point.
I understand that the safety measures I outlined earlier will not be easy and, quite frankly, they will not be cheap.
However, the financial losses and costs of cleaning up after accidents would, in the long-run, be much more burdensome.
The same goes for the damage to our environment that will be prevented.
Conclusion
But more important than all of this is what we can save in human costs.
And as someone who witnessed the damage in Lac-Mégantic first hand, I believe we must act to honour those who died and were injured, and to show that community and all communities that safety is our most important priority in transportation.
I make this point almost every time I speak and it will never change.
Canadians must know that all modes of transportation in our country, whether it be to move people or goods, meet this same priority.
And our trading partners around the world must also have confidence in the safety and reliability of our transportation systems.
The measures we are announcing today meet this commitment.
And through them, we will achieve safer railway transportation and safer communities in both Canada and the United States.
Thank you very much.