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World demand for oil and natural gas has never been higher. In supplying the world's energy needs, pipeline companies face unprecedented environmental and regulatory challenges. As the country expands its energy infrastructure, the safe and reliable delivery of oil and gas via the nation's pipelines has come under intense scrutiny.

The Hunton & Williams LLP pipeline practice has national experience resolving the environmental and enforcement issues that arise during the construction, permitting, operation and maintenance of oil and gas pipelines. Leveraging the talent and experience of more than 75 environmental lawyers, and strong working relationships with the federal and state agencies that regulate pipeline activities, Hunton & Williams addresses its clients' evolving legal and business needs as efficiently and effectively as possible.

What's New

  • January 18, 2012 - President Obama denies Keystone XL pipeline permit. President Obama denied the Keystone XL permit application based on a recommendation from the State Department that it did not have enough time to vet alternative pipeline routes before the February 21st approval deadline imposed by Congress in the payroll tax extension legislation. While the current Keystone XL application has been denied, the administration will allow TransCanada to reapply for a permit after it develops an alternative route around the Nebraska Sandhills. On the same day as the President's announcement, the House Energy and Commerce Committee responded by scheduling a hearing on January 25, 2012 regarding legislation introduced by Nebraska Congressman Lee Terry to transfer permitting approval authority over the Keystone XL pipeline project to FERC, H.R. 3548. The Committee also invited Secretary of State Hilary Clinton to testify on the State Department's final Environmental Impact Statement. Click here for the text of H.R. 3548.
  • January 3, 2012 - President Obama signs Pipeline Safety Act reauthorization bill into law. President Obama signed H.R. 2845, the "Pipeline Safety, Regulatory Certainty, and Job Creation Act of 2011" into law on January 3, 2012. Among other pipeline safety requirements, this bill doubles the maximum civil fine for all safety violations; requires operators to confirm, through records or testing, the MAOP of certain untested gas pipelines in populated areas; requires PHMSA to establish time limits for accident and incident notification; authorizes PHMSA to recover costs for design review for projects totaling at least $2.5 billion; requires PHMSA to study whether depth of cover was a contributing factor to hazardous liquid incidents at water crossings; and requires PHMSA to consider certain factors and, if appropriate, to issue regulations requiring automatic shut-off valves on new or replaced pipelines where economically, technically and operationally feasible. Notably, some of the provisions may be self-implementing and effective immediately, including the requirement that operators report exceedances above 110% MAOP on gas transmission lines on or before 5 days from the exceedance. Click here for the text of HR 2845 as signed by the President.
  • December 23, 2011 - President Obama signs payroll tax cut extension bill that includes 60 day deadline for a decision regarding the Keystone XL pipeline. On December 23, 2011, President Obama signed the Temporary Payroll Tax Cut Continuation Act of 2011, HR 3765, that temporarily extends the two percentage point payroll tax cut for employees, and also includes a Republican negotiated deadline for the President to either approve the Keystone XL pipeline or determine that the project is not in the national interest. The law also includes a provision allowing Nebraska and TransCanada time to find an alternative route in the State if the project is approved.
  • December 13, 2011 - The Pipeline Safety Act reauthorization bill passed both houses of Congress. The House passed an amended version of H.R. 2845, "Pipeline Safety, Regulatory Certainty, and Job Creation Act of 2011" on December 12, 2011 and the next day the Senate approved that bill by unanimous consent. The House bill was largely patterned after an earlier Senate version (S. 275), and reconciled slightly different versions from both the House Energy and Commerce Committee and the House Transportation and Infrastructure Committee. A clerical error occurred on the House floor that led to both houses voting on the wrong earlier version of the bill. We understand that this error will be corrected by a Concurrent Resolution. At that point, the correct version of H.R. 2845 will go to President Obama for approval. Click here for the text of the legislation that will be sent to the President.
  • December 2, 2011 - House Subcommittee Hearing regarding Keystone XL Pipeline. In conjunction with its hearings on "The American Energy Initiative," the House Energy & Commerce Subcommittee on Energy and Power conducted a hearing entitled, "Expediting the Keystone XL Pipeline: Energy Security and Jobs." Click here for more information. 
  • November 30, 2011 - Senate introduces North American Energy Security Act. Senate Republicans introduced Senate bill 1932 that would, among other things, require the Secretary of State to grant a permit for the Keystone XL Pipeline within 60 days unless the President were to publicly determine that the pipeline is "not in the national interest." Click here for a copy of the bill. 
  • November 29, 2011 - PHMSA publishes NPRM regarding miscellaneous changes to Parts 191, 192, 195 and 198. In order to correct errors, address inconsistencies and respond to rulemaking petitions, PHMSA published a Notice of Proposed Rulemaking regarding miscellaneous changes to the pipeline safety regulations. The proposed changes would revise requirements regarding construction inspections, leak surveys for certain gathering lines, qualifying plastic pipe joiners, mill hydrostatic tests and notifications for pipe operating at alternative MAOP, transportation of ethanol by pipeline, transportation of pipe, threading copper pipe; national pipeline mapping system, welding, and odorization of gas, among other changes. Notably with regard to construction, the rulemaking proposes revising 49 CFR 192.305 and 195.204 inspection requirements to prohibit anyone who participated in a pipeline's construction from conducting the inspection required to ensure compliance with Part 192 or Part 195 respectively. Comments should be submitted by February 3, 2012. Click here for a copy of the proposed rulemaking. 
  • November 15, 2011 - Representative Connolly (D-VA) introduced the Protecting Neighborhoods from Oil Pollution Act of 2011. This bill, H.R. 3426, would amend the Clean Water Act to require the closure of (1) any oil storage or processing facility that is within one mile of 100 or more dwellings and has had two or more discharges within a 10 year period, or (2) where the facility is the source of groundwater contamination affecting 100 or more residential units. Closure would still be required where the discharge resulted from an act of God, war or negligence by the federal government. Click here to view a copy of the bill.
  • November 15, 2011- PHMSA Extends Comment Period for Gas ANPRM to January 20, 2012: In response to industry requests for an extension of the comment period for PHMSA's Advanced Notice of Proposed Rulemaking regarding the safety of natural gas transmission lines, the Agency has extended the comment period from December 2, 2011 to January 20, 2012. Click here to view the Federal Register Notice published November 16, 2011. Click here to view the ANPRM published August 25, 2011.

 
  

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