The Elk River MCHM spill; A case study on managing environmental risks
Early on
The spill site was located a little more than 1.6 km (1 mile) upstream from the intake of a municipal water treatment facility operated by West Virginia American Water (WVAW), which serves a population of 300,000 across nine counties in central
With little information readily available regarding the potential human health effects of MCHM, the
Over the two weeks following the
Prior to the
Risk management
Risk management systems are used to identify, assess and mitigate risks, including environmental, social and economic risks, or some combination thereof. The concept of risk management is not at all new and, in fact, the use of some general principles in various sectors of society dates back to antiquity (Grier, 1981). In the past century, risk management has seen systematic and widespread incorporation in much of the business world (Dionne, 2013). The increasing focus on risk management in enterprise is attributed to a number of factors, including increased severity of the consequences associated with contemporary and/or manmade risks, growing evidence that effective strategies provide measurable results, a larger population of qualified individuals to analyze and mitigate risks, and a greater interest by a variety of stakeholders in activities that aim to prevent, rather than remediate, negative events (Covello and Mumpower, 1985). In short, risk management activities can provide some stability in an unstable market. Beyond business, however, risk management systems have a host of other applications - from coordination of large-scale natural disaster preparedness and response efforts (Espon, 2005) to environmental management of specific industrial sites.
Risk management principals. Like all management systems, risk management systems include human (i.e., knowledge, motivation and accountability), systematic (i.e., structure and processes) and physical elements (i.e., tools and resources). Human elements are highly dependent on the scope of the system, which may be relatively small (e.g., focused on a particular site) or massive (e.g., when the system forms the basis of a national regulatory system). No matter the scope of the system, however, core processes center on risk identification, assessment and mitigation. In the case of environmental management, risk identification seeks to determine what potential hazards or failures exist. Common hazards include those that may release chemicals, damage ecosystems or interfere with the activities of nearby communities. As noted by Joy (2004), the exercise of risk identification can be challenging, as it requires thinking abstractly to develop a comprehensive list of hazards; but for the industrial sector, identifying possibilities that would allow unwanted and/or uncontrolled exchanges of energy (e.g., chemical energy released via an explosion) can facilitate the process.
Risk assessment seeks to evaluate the likelihood and impacts of specific risks. This process may be relatively simple and qualitative or highly detailed, and, depending on site characteristics and management objectives, multiple risk assessment methods are often used in concert. Fault tree analysis (FTA) and failure modes and effects analysis (FMEA) are two common methods that see great use in industrial applications, including for assessment of occupational and environmental safety risks (Pennock and Haimes, 2001). While FTA focuses in-depth on root causes for specific failures (Mikulak, McDermott and Beauregard, 2009), FMEA also examines the order in which risks should be mitigated (Bertsche, 2008). Risk mitigation (i.e., elimination or reduction of risks to an acceptable level) is indeed the ultimate aim of any risk management system. Effective systems often incorporate iterative processes to analyze alternative mitigation strategies, including the costs, benefits and subsequent risks associated with each said strategy (Haimes, 1991 and 1998).
Two particularly useful tools common to risk management systems are risk matrices and risk registries. Risk matrices provide a visual comparative analysis between risks based on their probability of occurrence and severity of impacts. In the context of environmental management efforts, access to such information is critical for prioritizing and allocating resources, review of improvement efforts, and analysis of historical trends or future scenarios. Risk registries, on the other hand, are created to develop and organize a "living" list of risks as a way to categorize them by their sources, their impacts, or otherwise. Figure 1 illustrates a hypothetical risk matrix for an aboveground storage tank, such as the one that spilled MCHM into the
Regarding the systematic elements of risk management systems, continuous improvement is key. In the case of application to environmental management, the process of iterative review allows the system and all of its components to be updated with changes in any domain, including the physical environment itself, policy, social expectations, or technological advancements. In addition to being dynamic, risk management systems are tacitly comprehensive. As such, they can provide consideration for environmental risks that have not been specifically addressed otherwise. For example, in the case of a risk management system at an industrial site, risks might be identified and mitigated that are not covered by any regulatory requirements.
Environmental regulation. In addition to usage within the industrial sector, risk management systems may also form the basis of environmental regulatory frameworks. Regulation in
Much discussion has been made of the differences between environmental regulation from a precautionary perspective versus a risk assessment perspective (De Bruijn, Hansen and Munn, 2003), with the primary distinction being the definition of (or means of determining what constitutes) an acceptable level of harm. However, acknowledging that both perspectives have merit and can even be interpreted as parallel in terms of their broad goals or processes, an altogether different discussion can be had regarding the operationalization of protective principles into environmental regulation. Of particular interest are the human elements of the resulting environmental management systems (i.e., regulatory systems) and their stakes in successes or failures - meaning, which stakeholders are involved and how can they impact or be impacted by environmental management efforts? Moreover, the relative specificity between management policies and managed sites is of interest - meaning, is a regulatory approach "onesize fits all or top down" versus "site-specific or bottom up?"
In
This approach has inadvertently placed much of the burden for environmental risk management on government, rather than on industry or particular site operators. In practice, this means that specific regulation is often broadly applied, even in instances where no benefit may be realized. The ability of state agencies with primacy (versus federal agencies) to interpret and enforce certain statutes does promote better focus on relevant issues. For example, states with primacy under the CWA can set their own water quality standards for pollutant discharges so long as their standards are at least as stringent as the federal standards set by the
In contrast to the prescriptive and top down approach to environmental regulation in
Nonhazardous chemicals. Chemicals not specifically deemed hazardous present a significant gray area in environmental management, particularly when regulation is highly prescriptive. Chemicals that are categorized as nonhazardous are generally those that do not present acute physical (e.g., combustibility) or acute or chronic health hazards (e.g., causticity, toxicity). In the case of the crude MCHM that spilled into the
In
Indeed, federal regulation of nonhazardous chemicals in
News of the Elk River MCHM spill captured national headlines for weeks - with many questions surrounding how this incident could have occurred, considering the current regulatory framework in
Gaps in the system. Eastman had conducted testing to determine the chemical's hazards (Eastman, 1990), and an inventory of chemicals stored at the site had been provided to WVDEP about a year before the spill, as required by the EPCRA (Etowah River Terminal, 2013). Moreover, Freedom possessed the required industrial storm water permit for the site under the CWA, which was issued by WVDEP to the previous owner (WVDEP, 2009a). Although plans for storm water pollution prevention (SWPPP) and ground water protection (GPP) were required to be kept on site, and quarterly inspections were supposed to be conducted by the site operator (WVDEP, 2009b), WVDEP apparently did not require the operator to provide documentation (Ross, 2014). The SWPPP specifically addresses spill prevention and response. including in the instance of tank rupture, and visual site inspections by employees (CTL, 2002). While a post-spill inspection by the
It does seem clear that the site had not been fully inspected by a regulatory authority since 1991, with only preliminary inspections in 2002 due to a change in ownership (Berzon and
Regarding the affected water treatment facility, more than a decade before the spill, WVAW had written a source water assessment report under Safe Drinking Water Act (SDWA) requirements (WVDHHR, 2002). The report did identify the upstream chemical storage facility as a potential source of contamination, though at the time the report was written, MCHM was not stored there. While a follow-up source water protection plan was never formally created before the spill, the law did not require this. In retrospect, despite a host of regulations and even identification of potential risks posed by the storage facility, the
At the site level, the response to this question must surely be affirmative. Trends in industry, including the extractive resources and their support industries, to implement environmental risk management systems regardless of legal obligations are growing. Quite simply, these systems work (e.g., see Pritchard, 2014 for in depth discussions on the topic). The realized benefits range from direct cost-savings associated with consistent regulatory compliance and avoidance of environmental accidents to long-term social acceptance of operations (often referred to as "social license''). For many global companies, or those with tight and historical ties to specific regions, the costs of risk management systems can be easily justified by such benefits. But for others, perhaps due to lack of forethought or experience, the advantages may not be clear. In the case of the
Although other entities in the broader lifecycle chain for MCHM (e.g., other vendors, coal producers) quickly felt negative implications of the spill (Table 2), many actually have some level of risk management in place for nonhazardous chemicals. For example, some coal producers that use (or were using) MCHM or similar chemicals in their preparation facilities employ specific corporate policies, developed under their own broad environmental management programs, that cover storage and handling of all chemicals. Beyond specific GPP and SPCC guidance, such programs generally apply procedures found in the OPA (40 CFR Part 122) to storage and handling of any unregulated chemicals. It is worth noting that an incident with MCHM on a better-managed site would arguably have resulted in less severe environmental and social impacts, if any at all.
The regulatory response. There has been dialogue at the federal level for some time about the need to amend regulation of chemicals within
Just after the spill, a bill called the Chemical Safety and Drinking Water Protection Act was introduced in the
At the state level, regulatory response to the
Another important output from WVSB 373 is new regulation requiring water source protection plans to be implemented by distribution facilities (WVL §22-30-10). To construct an appropriate plan, water distributors must review: how source water may be diverted or what additional sources of water exist if their main supply is contaminated; what sources of potential contamination are located upstream from the distribution facility; and how any contamination may be diverted or removed from the source water. Further, an emergency environmental management plan must be developed for use in the case of an incident that impacts water supply quality enough that responsible authorities must be contacted (WVL §22-30-10).
Though certainly response-driven, the
Conclusions
In the aftermath of the
The Elk River MCHM spill indeed provides a valuable lesson on environmental management in
Acknowledgments
The authors thank the
El 9 de enero de 2014, aproximadamente 37 800 L (10 000 gal) de 4-metilciclohexanometanol (MCHM) crudo se filtraron de un tanque de almacenamiento al lado de la orilla del río Elk cerca
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