Monday, September 16, 2019

Michigan fires contractor doing oil pipeline risk analysis

pipeline michigan

Michigan said on Wednesday it has fired a consultant after state officials discovered a conflict of interest with an employee of the company conducting an independent analysis on the risks of an oil spill from Calgary-based Enbridge Inc’s Line 5 pipeline in the Great Lakes.

The company, Det Norske Veritas Inc, was to produce a risk analysis by the end of June on Enbridge’s 540,000 barrel per day Line 5 pipeline, which travels underwater through the Straits of Mackinac.

That report will no longer be delivered, said Melody Kindraka, a public information officer with the Michigan Department of Environmental Quality.

Det Norske Veritas did not immediately respond to requests for comment on the issue. The state said it came to light after Det Norske Veritas informed officials that an employee who worked on the Line 5 risk analysis subsequently worked on another project for Enbridge while the risk analysis was still being finished.

This violated conflict of interest clauses in the contract.

“Our trust was violated and we now find ourselves without a key piece needed to fully evaluate the financial risks associated with the pipeline that runs through our Great Lakes, this is unacceptable,” Michigan Attorney General Bill Schuette said in a statement. “Terminating the contract is the only option we have to maintain the integrity of the risk analysis.”

The 64-year-old Line 5 pipeline running under the Straits of Mackinac has become the subject of fierce environmental opposition in Michigan because of fears the aging infrastructure could leak crude oil into the Great Lakes.

Keep reading on Reuters Canada

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