Blog: Dermot Cole

Report blasts oil risk assessment

Published Wednesday, October 21, 2009

When the state hired a contractor for a two-year risk assessment of oil and gas facilities in Alaska, the company took more than a year to develop the methodology.

That left less than a year to do any risk assessing.

But now, an independent review of the methodology said it probably not have been useful in detecting such threats as the corrosion problem that prompted this entire effort.

The state ended its contract with Doyon Emerald-ABS in June after the proposed methodology was developed to identify risks to the pipeline and other oil facilities.

The Transportation Research Board of the National Academy of Sciences has released a strongly worded report that finds fault with the methodology.

It says one of the weaknesses in the methodology was that the risk assessment plan depended on getting the oil industry to provide the equivalent of 25 people working full time for a year to collect the data needed by the consultant and do it for free.

The oil industry balked at providing 50,000 hours of work for free and raised questions about how the data would be used.

Here is the full report: http://onlinepubs.trb.org/onlinepubs/reports/AlaskaRiskAssessment_Oct_2009.pdf

  1. sosorry
    10/21/2009, 1:39 p.m.
    Suggest removal

    A much simpler way and more productive to getting proper insight for methodology would be to simply compile a list of all the fines and what for that the industry has been charged since the Pipeline. Check the things that they have been fined for first to make sure they have complied and then check everything else. Simple. No charge, donations can be given to the Permanent Fund.

  2. sisu
    10/21/2009, 3:44 p.m.
    Suggest removal

    An other example of the "blind leading the blind" so to speak. How much money, time & effort has been wasted this time?

  3. DrPliers
    10/21/2009, 4:09 p.m.
    Suggest removal

    When bureaucrats rule the world, the only people making money will be those doing "studies" for them.

  4. out_in_the_cold
    10/21/2009, 5:19 p.m.
    Suggest removal

    <humor> Get all the BIG OIL folks in closed door meeting and have the Governor give them the "offer they can't refuse".

    Yep, 50,000 man hours times say $200 per hour equals $10 Million .. should just about cover the surcharge for the next drop of oil that gets spilled.

    Wonder if they call that "Legal Extortion"?

    It seem to be alright with Department of Justice concerning the Federal Reserve and the BIG BANKS...and those VIPs are still getting their whopper bonuses.

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