A pipeline is a system of pipes for long-distance transportation of a liquid or gas, typically to a market area for consumption. The latest data from 2014 gives a total of slightly less than 2,175,000 miles (3,500,000 km) of pipeline in 120 countries around the world. The United States had 65%, Russia had 8%, and Canada had 3%, thus 76% of all pipeline were in these three countries. The main attribute to pollution from pipelines is caused by corrosion and leakage.
171-559: The Dakota Access Pipeline ( DAPL ) or Bakken pipeline is a 1,172-mile-long (1,886 km) underground pipeline in the United States that has the ability to transport up to 750,000 barrels of light sweet crude oil per day. It begins in the shale oil fields of the Bakken Formation in northwest North Dakota and continues through South Dakota and Iowa to an oil terminal near Patoka, Illinois . Together with
342-548: A mutual insurance arrangement). The modern system relies on dedicated carriers, usually for-profit, to offer protection against specified perils in consideration of a premium . Liability insurance is designed to offer specific protection against third-party insurance claims, i.e., payment is not typically made to the insured, but rather to someone suffering loss who is not a party to the insurance contract. In general, damage caused intentionally as well as contractual liability are not covered under liability insurance policies. When
513-553: A "nearly identical route" and planned to cross the Missouri River near the same point. The plans called for the pipeline to be directionally bored so that it would not come in contact with the Missouri River. It is planned to be "as deep as 90 feet (27.4 m)" below the riverbed. In South Dakota, the pipeline travels 274 miles (441 km) through 12 counties: Campbell , McPherson , Edmunds , Faulk and Spink . The system includes one electric pump station. In Iowa,
684-491: A SIR must still provide an "immediate, 'first dollar' defense" (subject, of course, to their right to later recover the SIR amount from the insured) unless the policy expressly imposes exhaustion of the SIR as a precondition to the duty to defend. In many countries, liability insurance is a compulsory form of insurance for those at risk of being sued by third parties for negligence . The most usual classes of mandatory policy cover
855-408: A claim is made, the insurance carrier has the duty (and right) to defend the insured. The legal costs of a defence normally do not affect policy limits unless the policy expressly states otherwise; this default rule is useful because defence costs tend to soar when cases go to trial. In many cases, the defense portion of the policy is actually more valuable than the insurance, as in complicated cases,
1026-522: A coal mine to gain easements through North Dakota. A 2015 poll showed that fifty seven percents of Iowans favoring the construction of the pipeline. Construction of the pipeline was also estimated to create 42,000 jobs with a total of $ 2 billion in wages. In March 2016, the United States Fish and Wildlife Service issued a sovereign lands construction permit. In late May 2016, the permit was temporarily revoked in three counties of Iowa, where
1197-484: A cohesive package. Employment practices liability arose in the 1980s, after U.S. employees began to obtain jury verdicts against their employers due to workplace actions such as wrongful dismissal . Insurance Services Office (ISO), a vendor of standard form contract insurance policies, revised the Commercial General Liability insurance policy form to exclude coverage for torts related to
1368-432: A complete exclusion to coverage. It is irrelevant whether the plaintiff will prevail or actually prevails on the claim; rather, the test is whether the claim if proven would be covered. Vague or ambiguous allegations broad enough to encompass a range of possibilities both within and without coverage are usually construed in favor of a potential for coverage, but speculation about unpled allegations (that is, matters on which
1539-457: A construction right-of-way of up to 150 feet (46 m). The 30-inch (760 mm) diameter pipeline is at least 48 inches (1.2 m) underground from the top of the pipe or 2 feet (0.61 m) below any drain tiles . At the length of 1,172 miles (1,886 km) and diameter of 30 inches (760 mm), the entire pipeline volume is 30,214,400 cubic feet (855,576 m). At the stated daily transport volume of 2,600,000 cubic feet (75,000 m),
1710-402: A court later determines that there was a duty to defend all along, then it will hold that the insurer necessarily breached that duty, and may also hold that the insurer is subject to tort liability for bad faith. So insurers will often defend under a reservation of rights rather than decline coverage altogether. Outside of the United States and Canada, liability insurers generally do not assume
1881-425: A depth of about 3 to 6 feet (0.91 to 1.83 m). To protect pipes from impact , abrasion , and corrosion , a variety of methods are used. These can include wood lagging (wood slats), concrete coating, rockshield, high-density polyethylene , imported sand padding, sacrificial cathodes and padding machines. Crude oil contains varying amounts of paraffin wax and in colder climates wax buildup may occur within
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#17327652805192052-401: A direct result of such bodily injury or death. U.S. employers often carry Employers' Liability coverage (which is not necessarily compulsory) to protect themselves from lawsuits from such persons who would still have the right to sue them in the courts, such as an employee's spouse who claims loss of consortium as a result of the employee's bodily injury on the job which was allegedly caused by
2223-589: A distinction is made between a "flowline" and a pipeline. The former is an intrafield pipeline, in the sense that it is used to connect subsea wellheads , manifolds and the platform within a particular development field. The latter, sometimes referred to as an "export pipeline", is used to bring the resource to shore. The construction and maintenance of marine pipelines imply logistical challenges that are different from those onland, mainly because of wave and current dynamics, along with other geohazards . In Nigeria oil pipelines get bored by thieves, in 2022, during
2394-439: A duty to defend based on mere allegations that show a potential for coverage, but may not have a duty to indemnify if the evidence supporting a final judgement against the insured also takes those claims or causes of action completely outside of the policy's scope of coverage. Conversely, it is also possible that an insurer may have no duty to defend based on the initial allegations of the plaintiff's original complaint, but may have
2565-468: A duty to defend, in the sense of assuming a direct responsibility for hiring and paying a lawyer to defend the insured. Many write policies which promise to reimburse the insured for reasonable defense costs incurred with the insurer's consent, but this is essentially a form of indemnification (covered in the next section below), under which the insured remains primarily responsible for hiring a lawyer to defend themselves. Such insurers often expressly reserve
2736-403: A duty to indemnify based upon the policyholder's proven liability. While the duty to defend and the duty to settle are rare outside of English-speaking North America, the duty to indemnify is universally found in liability insurance policies. In some jurisdictions, there is a third duty, the duty to settle a reasonably clear claim against the insured. This duty is generally triggered only if
2907-421: A finding of no significant impact. It did not carry out an area-wide full environmental impact assessment of the entire effects of the overall project through the four states. The USACE was authorized to grant the following: On June 14, 2017, a federal judge ordered the federal government to conduct further reviews of the pipeline but did not halt pumping operations. On March 25, 2020, a U.S. District judge ordered
3078-471: A fuel in oil fields to heat various facilities used by the oil drillers or equipment and trucks used in the oil patch. EG: Propane will convert from a gas to a liquid under light pressure, 100 psi, give or take depending on temperature, and is pumped into cars and trucks at less than 125 psi (860 kPa) at retail stations. Pipelines and rail cars use about double that pressure to pump at 250 psi (1,700 kPa). The distance to ship propane to markets
3249-417: A further range of perils that people insure against and, consequently, the number and range of liability policies has increased in line with the rise of contingency fee litigation offered by lawyers (sometimes on a class action basis). Such policies fall into three main classes: Industry and commerce are based on a range of processes and activities that have the potential to affect third parties (members of
3420-457: A grace period for reporting after the end of the policy period to protect insureds who are sued at the very end of the policy term). Claims-made policies enable insurers to again sharply limit their own long-term liability on each policy and in turn, to close their books on policies and record a profit. Hence, such policies are much more affordable than occurrence policies and are very popular for that reason. Of course, claims-made policies shift
3591-799: A legal defence or settlement can far exceed premium costs. In some cases, the costs of a claim could be enough to shut down a small business. Businesses must consider all potential risk exposures when deciding whether liability insurance is needed, and, if so, how much coverage is appropriate and cost-effective. Those with the greatest public liability risk exposure are occupiers of premises where large numbers of third parties frequent at leisure including shopping centres, pubs, clubs, theatres, cinemas, sporting venues, markets, hotels, and resorts. The risk increases dramatically when consumption of alcohol and sporting events are included. Certain industries such as security and cleaning are considered high risk by underwriters. In some cases underwriters even refuse to insure
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#17327652805193762-503: A lower share of liability claims as accidents related to injuries and property damages have declined. In continental Europe, the largest liability insurance markets are Germany, France, Italy and Spain. Together they made up almost USD 22 billion of global liability premiums in 2013. Typically governed by civil law systems, these markets rely on local conditions and historical experience to determine which liability policies and covers are available. Penetration ranges from 0.16% to 0.25%, which
3933-404: A particularly egregious fashion may also be held liable for the tort of insurance bad faith , under which the insured may be able to recover compensatory damages in excess of the policy limits, as well as punitive damages. Traditionally, liability insurance was written on an occurrence basis, meaning that the insurer agreed to defend and indemnify against any loss which allegedly "occurred" during
4104-542: A pipeline is currently being constructed from North Dakota to Illinois, commonly known as the Dakota Access Pipeline . As more North American pipelines are built, even more exports of LNG, propane, butane, and other natural gas products occur on all three US coasts. To give insight, North Dakota Bakken region's oil production has grown by 600% from 2007 to 2015. North Dakota oil companies are shipping huge amounts of oil by tanker rail car as they can direct
4275-407: A pipeline leak or spill; a revised agricultural impact mitigation plan; a timeline for construction notices; modified condemnation easement forms; and a statement accepting the terms and condition's of the board's order." The IUB stated that with the conditions, the pipeline would promote public convenience and necessity. The following day, the company stated it had secured voluntary easements on 82% of
4446-452: A pipeline system are: Since oil and gas pipelines are an important asset of the economic development of almost any country, it has been required either by government regulations or internal policies to ensure the safety of the assets, and the population and environment where these pipelines run. Pipeline companies face government regulation, environmental constraints and social situations. Government regulations may define minimum staff to run
4617-723: A pipeline. Pipelines exist for the transport of crude and refined petroleum, fuels – such as oil, natural gas and biofuels – and other fluids including sewage , slurry , water , beer , hot water or steam for shorter distances and even pneumatic systems which allow for the generation of suction pressure for useful work and in transporting solid objects. Pipelines are useful for transporting water for drinking or irrigation over long distances when it needs to move over hills , or where canals or channels are poor choices due to considerations of evaporation , pollution , or environmental impact. Oil pipelines are made from steel or plastic tubes which are usually buried. The oil
4788-501: A pipeline. Often these pipelines are inspected and cleaned using pigging , the practice of using devices known as "pigs" to perform various maintenance operations on a pipeline. The devices are also known as "scrapers" or "Go-devils". "Smart pigs" (also known as "intelligent" or "intelligence" pigs) are used to detect anomalies in the pipe such as dents, metal loss caused by corrosion, cracking or other mechanical damage. These devices are launched from pig-launcher stations and travel through
4959-458: A position of trading off timely reporting of every "potential" claim (i.e., every slip-and-fall on their premises), even if those never ripen into actual lawsuits, and thereby protect their right to coverage, at the expense of making themselves look more risky and driving up their own insurance premiums. Or they can wait until they actually get sued, but then they run the risk that the claim will be denied because it should have been reported back when
5130-412: A precondition to the insurer's duty. It is generally triggered when a final judgement is entered against the insured, and it is satisfied when the insurer pays such covered amounts to the plaintiff who obtained the judgement. Most policies provide for payment of monetary damages as well as any costs, expenses, and attorney's fees which the plaintiff may also be entitled to as the prevailing party. Unlike
5301-500: A presently rated 250,000 barrels equivalent per day pipeline, it will be expanded to between 1.0 and 1.3 million barrels per day. It will bring western oil to refineries in Ontario, Michigan, Ohio, Pennsylvania, Quebec and New York by early 2014. New Brunswick will also refine some of this western Canadian crude and export some crude and refined oil to Europe from its deep water oil ULCC loading port. Although pipelines can be built under
Dakota Access Pipeline - Misplaced Pages Continue
5472-523: A private corporation. In 2016, landowners across Iowa expressed concern about allowing the use of eminent domain to condemn privately owned land, particularly agricultural land. In August 2016, Dakota Access, LLC stated that it had already executed easement agreements with 99% of the landowners whose properties were along the four-state route and, with regards to the landowners along the pipeline's route in Iowa, 99% had entered voluntary easements. The pipeline
5643-449: A problem for pipeline companies. In this case, the detection levels should be under two percent of maximum flow, with a high expectation for location accuracy. Various technologies and strategies have been implemented for monitoring pipelines, from physically walking the lines to satellite surveillance. The most common technology to protect pipelines from occasional leaks is Computational Pipeline Monitoring or CPM. CPM takes information from
5814-418: A reasonable opportunity to settle actually arises, either because the plaintiff makes a settlement offer, or the insurer is aware of information to the effect that the plaintiff would accept a settlement offer. The insurer is neither required to initiate an offer to a plaintiff likely to refuse it, nor required to accept an outrageous offer from a plaintiff who filed a frivolous lawsuit and cannot prevail against
5985-401: A right to defend the insured, presumably so they can intervene to protect their own interests if the insured's counsel of choice is not providing an adequate defense against the underlying claim. An indemnity case arises when an individual is obliged to pay for the loss or damage incurred by another person in an event of an accident, collision etc. The duty of indemnity generally originates from
6156-563: A same-day response saying that the White House's directive "is just the latest in a series of overt and transparent political actions by an administration which has abandoned the rule of law in favor of currying favor with a narrow and extreme political constituency." They said that the companies "fully expect to complete construction of the pipeline without any additional rerouting in and around Lake Oahe. Nothing this Administration has done today changes that in any way." On January 18, 2017,
6327-462: A set of screens or Human Machine Interface , showing the operational conditions of the pipeline. The operator can monitor the hydraulic conditions of the line, as well as send operational commands (open/close valves, turn on/off compressors or pumps, change setpoints, etc.) through the SCADA system to the field. To optimize and secure the operation of these assets, some pipeline companies are using what
6498-444: A settlement in which it would have to pay only its policy limits (either because the plaintiff agrees to lower their demand or the insured or another primary or excess insurer agrees to contribute the difference). Generally, an insurer who breaches any of the foregoing duties will be held liable for breach of contract . In most jurisdictions, the result is a judgment requiring payment of the insured's expectation damages—the sums that
6669-421: A valid policy. Many also require insurance companies to provide a default fund to offer compensation to those physically injured in accidents where the driver did not have a valid policy. In many countries, claims are dealt with under common law principles established through a long history of case law and if litigated, are made by way of civil actions in the relevant jurisdiction. Product liability insurance
6840-649: Is a 525-kilometre (326 mi) slurry pipeline which is planned to transport iron ore from the Minas-Rio mine (producing 26.5 million tonnes per year) to the Port of Açu in Brazil. An existing example is the 85-kilometre (53 mi) Savage River Slurry pipeline in Tasmania , Australia, possibly the world's first when it was built in 1967. It includes a 366-metre (1,201 ft) bridge span at 167 metres (548 ft) above
7011-644: Is a TransCanada natural gas line going north across the Niagara region bridges. This gas line carries Marcellus shale gas from Pennsylvania and other tied in methane or natural gas sources into the Canadian province of Ontario. It began operations in the fall of 2012, supplying 16 percent of all the natural gas used in Ontario. This new US-supplied natural gas displaces the natural gas formerly shipped to Ontario from western Canada in Alberta and Manitoba, thus dropping
Dakota Access Pipeline - Misplaced Pages Continue
7182-481: Is a part of the general insurance system of risk financing to protect the purchaser (the "insured") from the risks of liabilities imposed by lawsuits and similar claims and protects the insured if the purchaser is sued for claims that come within the coverage of the insurance policy . Originally, individual companies that faced a common peril formed a group and created a self-help fund out of which to pay compensation should any member incur loss (in other words,
7353-606: Is an entity owned by MPLX LP (an affiliate of Marathon Petroleum ) and Enbridge Energy Partners L.P. Bakken Holdings Company and Phillips 66 also co-own another part of the Bakken system, the Energy Transfer Crude Oil Pipeline which runs from Patoka to storage terminals in Nederland, Texas . The pipeline project cost $ 3.78 billion, of which $ 2.5 billion was financed by loans, while the rest of
7524-482: Is built on private land with portions crossing waters of the United States and flood control areas managed by the United States Army Corps of Engineers. In North Dakota, the 346-mile (557 km) route traverses seven counties. The project consists of 143 miles (230 km) of oil-gathering pipelines and 200 miles (322 km) of larger transmission pipeline. The route starts with a terminal in
7695-467: Is called "Advanced Pipeline Applications", which are software tools installed on top of the SCADA system, that provide extended functionality to perform leak detection, leak location, batch tracking (liquid lines), pig tracking, composition tracking, predictive modeling, look ahead modeling, and operator training. Pipeline networks are composed of several pieces of equipment that operate together to move products from location to location. The main elements of
7866-500: Is done by sending a copy of the complaint along with a cover letter referencing the relevant insurance policy or policies and demanding an immediate defense. In most U.S. states and Canada, the insurer generally has four main options at this point, to: The duty to defend is generally broader than the duty to indemnify, because most (but not all) policies that provide for such a duty also specifically promise to defend against claims that are groundless, false, or fraudulent. Therefore,
8037-400: Is due to the country’s English law derived legal framework, which has increased demand for employers’ liability insurance. Australia has mandatory covers for aviation, maritime oil pollution and residential construction and, in certain states, for medical practitioners, property brokers and stock brokers. Liability insurance premiums have grown at an average annual rate of 11% since 2000. China
8208-543: Is expected to continue. In 2021, the U.S. Court of Appeals for the D.C. Circuit sided with the Standing Rock Sioux and other tribes that there should have had been a thorough environmental review (there was only a 2015 preliminary review) for the 2 mile pipeline section below Lake Oahe. In February 2022, the US Supreme Court let this decision stand by declining to hear the case. Despite these rulings,
8379-481: Is illustrated by cases such as those involving Mercedes-Benz for unstable vehicles and Perrier for benzene contamination , but the full list covers pharmaceuticals and medical devices, asbestos, tobacco, recreational equipment, mechanical and electrical products, chemicals and pesticides, agricultural products and equipment, food contamination, and all other major product classes. Laws regarding workers compensation, which compensate an employee , vary by country, but
8550-503: Is less efficient to produce and transport due to greater heat losses. Heat transfer oils are generally not used for economic and ecological reasons. The typical annual loss of thermal energy through distribution is around 10%, as seen in Norway's district heating network. District heating pipelines are normally installed underground, with some exceptions. Within the system, heat storage may be installed to even out peak load demands. Heat
8721-638: Is low compared to the common law countries such as the US, the UK and Australia. Japan and Australia are the largest markets in the Asia Pacific region, with commercial liability premiums of USD 6.0 billion and USD 4.8 billion, respectively, in 2013. At 0.12% of GDP, the penetration of liability insurance in Japan is much lower than in other advanced economies. In Australia, penetration is much higher at 0.32% of GDP. This
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#17327652805198892-445: Is moved through the pipelines by pump stations along the pipeline. Natural gas (and similar gaseous fuels) are pressurized into liquids known as natural gas liquids (NGLs). Natural gas pipelines are constructed of carbon steel . Hydrogen pipeline transport is the transportation of hydrogen through a pipe. Pipelines are one of the safest ways of transporting materials as compared to road or rail, and hence in war, pipelines are often
9063-625: Is much shorter, as thousands of natural-gas processing plants are located in or near oil fields. Many Bakken Basin oil companies in North Dakota, Montana, Manitoba and Saskatchewan gas fields separate the NGLs in the field, allowing the drillers to sell propane directly to small wholesalers, eliminating the large refinery control of product and prices for propane or butane. The most recent major pipeline to start operating in North America
9234-469: Is not a compulsory class of insurance in all countries, but legislation such as the EC Directive on Product Liability (25/7/85) and the UK's Consumer Protection Act 1987 create a strict liability regime "without fault", and businesses manufacturing or supplying goods often carry some form of product liability insurance, usually as part of a combined liability policy. The scale of potential liability
9405-623: Is odorless unless mixed with a mercaptan odorant where required by a regulating authority. A major ammonia pipeline is the Ukrainian Transammiak line connecting the TogliattiAzot facility in Russia to the exporting Black Sea -port of Odesa . Pipelines have been used for transportation of ethanol in Brazil, and there are several ethanol pipeline projects in Brazil and the United States. The main problems related to
9576-431: Is over 2,800 kilometres (1,700 mi) long, and is connected to wells tapping an aquifer over 500 metres (1,600 ft) underground. District heating or teleheating systems consist of a network of insulated feed and return pipes which transport heated water, pressurized hot water , or sometimes steam to the customer. While steam is hottest and may be used in industrial processes due to its higher temperature, it
9747-561: Is owned by Dakota Access, LLC, controlled by Energy Transfer Partners , with minority interests from Phillips 66 , and affiliates of Enbridge and Marathon Petroleum . Protests against the pipeline occurred from 2016 to 2017, organized by those opposing its construction, including the Standing Rock Indian Reservation . Prior to the Dakota Access Pipeline, light sweet crude oil from
9918-430: Is public and product liability. This is followed by professional indemnity and employers’ liability (cover for employment-related accidents and illnesses). There has been a significant shift in the sub-segments of UK liability insurance. In the last decade, the share of professional indemnity has increased from about 14% to 32%, highlighting the shift towards a more services-driven economy. Manufacturing, meanwhile, comprises
10089-681: Is regulated and underwritten separately from liability insurance. Just as the Insurance Services Office develops standard liability insurance forms and obtains approval for them from state insurance commissioners, the National Council on Compensation Insurance (NCCI) and various state rating bureaus provide similar services in the workers' compensation context. U.S. workers' compensation insurance generally covers only bodily injury to and death of employees, but it does not always cover other persons who may suffer injury as
10260-561: Is still in operation. As of 2004 , there are 900 miles (1,400 km) of low pressure hydrogen pipelines in the US and 930 miles (1,500 km) in Europe. Two millennia ago, the ancient Romans made use of large aqueducts to transport water from higher elevations by building the aqueducts in graduated segments that allowed gravity to push the water along until it reached its destination. Hundreds of these were built throughout Europe and elsewhere, and along with flour mills were considered
10431-405: Is the most desirable option, but ethanol's affinity for water and solvent properties require the use of a dedicated pipeline, or significant cleanup of existing pipelines. Slurry pipelines are sometimes used to transport coal or ore from mines. The material to be transported is closely mixed with water before being introduced to the pipeline; at the far end, the material must be dried. One example
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#173276528051910602-406: Is the ninth largest commercial liability market globally, with premiums of USD 3.5 billion in 2013 and strong annual average growth of 22% since 2000. However, penetration remains low at 0.04% of GDP. Growth has been driven by increasing risk awareness and regulatory changes. Liability insurers have one, two or three major duties, depending upon the jurisdiction: The duty to defend is prevalent in
10773-462: Is to negotiate a policy with a retained limit or self-insured retention (SIR), which is somewhat like a deductible. With such policies, the insured is essentially agreeing to self-insure and self-defend for smaller claims, and to tender and demand a defense only for liability claims that exceed a certain value. However, writing such insurance is itself risky for insurers. The California Courts of Appeal have held that primary insurers on policies with
10944-609: Is transferred into the central heating of the dwellings through heat exchangers at heat substations , without mixing of the fluids in either system. Bars in the Veltins-Arena , a major football ground in Gelsenkirchen , Germany, are interconnected by a 5-kilometre (3.1 mi) long beer pipeline. In Randers city in Denmark, the so-called Thor Beer pipeline was operated. Originally, copper pipes ran directly from
11115-528: Is usually known as the "Main Control Room". In this center, all the data related to field measurement is consolidated in one central database. The data is received from multiple RTUs along the pipeline. It is common to find RTUs installed at every station along the pipeline. The SCADA system at the Main Control Room receives all the field data and presents it to the pipeline operator through
11286-520: The Bakken Formation was transported mainly by rail during the North Dakota oil boom . Extraction from the area increased from 309,000 barrels a day in 2010 to more than 1 million in 2014, with insufficient pipeline infrastructure to transport the increased extraction. Plans for the pipeline were announced by Energy Transfer Partners in 2014, with Phillips 66 acquired 25% stake in the project later that same year. Energy Transfer Partners estimated that
11457-410: The Dakota Access Pipeline protests , some banks decided to pull funding in the project. This included DNB ASA Financial services group. In February 2017, Seattle, Washington 's city council unanimously voted not to renew its contract with Wells Fargo "in a move that cites the bank's role as a lender to the Dakota Access Pipeline project as well as its "creation of millions of bogus accounts" and saying
11628-610: The Energy Transfer Crude Oil Pipeline from Patoka to Nederland, Texas , it forms the Bakken system. The pipeline transports 40 percent of the oil produced in the Bakken region. The $ 3.78 billion project was announced to the public in June 2014 with construction beginning in June 2016, creating approximately 42,000 jobs with a total of $ 2 billion in wages. The pipeline was completed in April 2017 and became operational in May 2017. The pipeline
11799-659: The Equator Principles . Despite concerns being raised that the project could threaten the water supply from Lake Oahe and the Missouri River if a leak occurred, project financing was still approved. The pipeline route runs from the northwestern North Dakota Bakken and Three Forks sites. It starts in Stanley, North Dakota , and travels in a southeastward direction to end at the oil tank farm near Patoka, Illinois . It crosses 50 counties in four states, and
11970-744: The FERC and others, reviews proposed pipeline projects in order to comply with the Clean Water Act , the National Environmental Policy Act , other laws and, in some cases, municipal laws. The Biden administration has sought to permit the respective states and tribal groups to appraise and potentially block the proposed projects. Field devices are instrumentation, data gathering units and communication systems. The field instrumentation includes flow, pressure, and temperature gauges/transmitters, and other devices to measure
12141-525: The Iowa Department of Natural Resources for sovereign land and floodplain permits. In April 2015, Iowa Senate Study Bill 1276 and House Study Bill 249 advanced with both Senator Robert Hogg , D-Cedar Rapids, and State Representative Bobby Kaufmann , R-Wilton, in support; it required Dakota Access "to obtain voluntary easements from 75% of property owners along the route before eminent domain could be authorized". The Iowa Utilities Board approved
12312-547: The Stanley area and runs west with five more terminals in Ramberg Station, Epping , Trenton , Watford City and Johnsons Corner before becoming a transmission line going through Williston , the Watford City area, south of Bismarck , and crossing the Missouri River again north of Cannon Ball . It also includes six tank farm locations and one electric pump station. In the early stages of route planning, it
12483-606: The United States Army Corps of Engineers (USACE) before submitting a request to the North Dakota Public Service Commission (NDPSC) for a permit. This decision was described by Jesse Jackson as environmental racism . The change of the route put the pipeline into the existing pipeline corridor parallel to the already existing Northern Border Pipeline , a natural gas pipeline built in 1982. The Dakota Access pipeline selected
12654-416: The religious practices of the tribe. The Dakota Access Pipeline had temporary workforce housing for the pipeline workers. Construction of the pipeline was completed in April 2017. The first oil was delivered through the pipeline on May 14, 2017. On June 1, 2017, testing was completed and the pipeline became commercially operational. After the pipeline's first year of operation, Forbes reported that it
12825-453: The 1,295 affected Iowa land parcels. A week later, Dakota Access filed motions with the IUB requesting expedited and confidential treatment to begin construction immediately, saying it met the conditions and that its liability insurance policies were trade secrets under Iowa law and "would serve no public purpose". Dakota Access also filed 23 condemnation suits against 140 individuals, banks, and
12996-536: The Court could issue." Pipeline transport Pipeline and Gas Journal' s worldwide survey figures indicate that 118,623 miles (190,905 km) of pipelines are planned and under construction. Of these, 88,976 miles (143,193 km) represent projects in the planning and design phase; 29,647 miles (47,712 km) reflect pipelines in various stages of construction. Liquids and gases are transported in pipelines, and any chemically stable substance can be sent through
13167-511: The Dakota Access Pipeline into operation." On November 1, 2016, President Obama announced his administration was monitoring the situation and had been in contact with the USACE to examine the possibility of rerouting the pipeline to avoid sacred lands. On November 14, 2016, the USACE announced that "the Army has determined that additional discussion and analysis are warranted in light of the history of
13338-534: The EIS process. Following the inauguration of Donald Trump in January 2017, he signed a presidential memorandum to advance approval of pipeline construction, while stating his intention to "renegotiate some of the terms" of the pipeline bill. The order would expedite the environmental review that Trump described as an "incredibly cumbersome, long, horrible permitting process." These executive orders, which also included
13509-671: The Great Sioux Nation's dispossessions of lands, the importance of Lake Oahe to the Tribe, our government-to-government relationship, and the statute governing easements through government property." Energy Transfer Partners responded by criticizing the Obama administration for "political interference" and said that "further delay in the consideration of this case would add millions of dollars more each month in costs which cannot be recovered." North Dakota Governor Jack Dalrymple criticized
13680-623: The Keystone XL Pipeline, outlined how the completion of the pipeline would create more jobs. On February 7, 2017, the USACE sent a notice of intent to the United States Congress to grant an easement under Lake Oahe 24 hours following notification of the delivery of the notification. On February 9, 2017, the Cheyenne River Sioux sued the easement decision, citing an 1851 treaty and interference with
13851-399: The Missouri River might become contaminated in the event of a spill or leak. Sioux tribes expressed concern over leaks because the pipeline passes under Lake Oahe, which serves as a major source of water. In March 2015, a Des Moines Register poll found that while 57% of Iowans supported the Dakota Access Pipeline, 74% were opposed to the use of eminent domain condemnation on behalf of
14022-471: The Russian-Ukrainian war, the submarine natural gas pipelines Nord Stream I and II got blasted. In general, pipelines can be classified in three categories depending on purpose: When a pipeline is built, the construction project not only covers the civil engineering work to lay the pipeline and build the pump/compressor stations, it also has to cover all the work related to the installation of
14193-598: The Savage River. Hydrogen pipeline transport is a transportation of hydrogen through a pipe as part of the hydrogen infrastructure . Hydrogen pipeline transport is used to connect the point of hydrogen production or delivery of hydrogen with the point of demand, with transport costs similar to CNG , the technology is proven. Most hydrogen is produced at the place of demand with every 50 to 100 miles (160 km) an industrial production facility. The 1938 Rhine-Ruhr 240-kilometre (150 mi) hydrogen pipeline
14364-761: The Standing Rock Sioux Tribal Council. Informational meetings for South Dakota and Illinois landowners were held in October 2014, and starting on December 1, 2014, in each of the affected counties in Iowa. Meetings in Fort Madison , Sioux Center , Oskaloosa and Storm Lake brought out hundreds of people expressing their support and/or opposition to the pipeline. A webinar for Brown and Hancock County, Illinois took place in February 2015. On October 29, 2014, Dakota Access submitted
14535-402: The U.S. Army Corps of Engineers to conduct a full environmental review. Prior to construction, some farmers expressed concern about the disturbance of the land, including tiling, soil erosion , and soil quality . They also expressed concerns about potential leaks in the pipeline caused by destabilization in certain areas prone to flooding, which could cause an environmental disaster, as well as
14706-533: The US. The distance from the biggest oil patch in North Dakota, in Williston, North Dakota , is only about 85 miles or 137 kilometers to the Canada–US border and Manitoba . Mutual funds and joint ventures are the largest investors in new oil and gas pipelines. In the fall of 2012, the US began exporting propane to Europe, known as LPG, as wholesale prices there are much higher than in North America. Additionally,
14877-463: The USACE announced, it would not grant an easement for the pipeline to be drilled under Lake Oahe and was undertaking an environmental impact statement to look at possible alternative routes. The Assistant Secretary of the Army (Civil Works) , Jo-Ellen Darcy said that "the best way to complete that work responsibly and expeditiously is to explore alternate routes for the pipeline crossing". Energy Transfer Partners and Sunoco Logistics Partners issued
15048-551: The USACE filed its formal Notice of Intent to conduct the Environmental Impact Statement process. The notice opened a thirty-day comment on the scope of the EIS, addressing the crossing of Lake Oahe. The proposed EIS was to consider "Alternative locations for the pipeline crossing the Missouri River", direct and indirect risks and impacts, as well as their treaty rights to the lake. The same day U.S. District Judge James Boasberg denied ETP's request to delay
15219-405: The United States and Canada, where most liability insurance policies provide that the insurer "has the right and duty" to defend the insured against all "suits" to which the policies apply. It is usually triggered when the insured is sued (or in some instances, given pre-suit notice that they are about to be sued) and subsequently "tenders" defense of the claim to its liability insurer. Usually this
15390-410: The United States policies typically include Part One for compulsory coverage and Part Two for non-compulsory coverage. Original jurisdiction over workers' compensation claims has been diverted in much of the United States to administrative proceedings outside of the federal and state courts. They operate as no-fault schemes in which the employee need not prove the employer's fault; it is sufficient for
15561-554: The United States, 70% of crude oil and petroleum products are shipped by pipeline. (23% are by ship, 4% by truck, and 3% by rail) In Canada for natural gas and petroleum products, 97% are shipped by pipeline. Natural gas (and similar gaseous fuels) are lightly pressurized into liquids known as Natural Gas Liquids (NGLs). Small NGL processing facilities can be located in oil fields so the butane and propane liquid under light pressure of 125 pounds per square inch (860 kPa), can be shipped by rail, truck or pipeline. Propane can be used as
15732-588: The Workers’ Accident Insurance system put into place by Otto von Bismarck in 1881 is often cited as a model for Europe and later the United States. In many legal jurisdictions workers compensation is compulsory depending upon the business, including the United Kingdom and many states of the United States with the notable exception of Texas as of 2018. Regardless of compulsory requirements, businesses may purchase insurance voluntarily, and in
15903-509: The agency of violating the National Historic Preservation Act and other laws, and seeking declaratory and injunctive relief to stop the pipeline. This claim was rejected by the court. U.S. District Judge James E. Boasberg said in the ruling that the USACE "likely complied" with its obligation to consult the tribe and that the tribe "has not shown it will suffer injury that would be prevented by any injunction
16074-421: The agreement in between insurer and insured which protects the insured against any liability, damage or loss. The duty to indemnify is the insurer's duty to pay all covered sums for which the insured is held liable, up to the limits of coverage and subject to any deductibles, retained limits, self-insured retention, excess payments, or any other amounts of money which the insured is required to pay out-of-pocket as
16245-472: The alternative, the insurer may defend under a reservation of rights: it sends a letter to the insured reserving its rights to immediately withdraw from the insured's defense if it becomes clear there is no coverage or no potential for coverage for the entire complaint, and to recover from the insured any funds expended to that point on defending against any particular claims or causes of action which were never covered or even potentially covered to begin with. If
16416-437: The application of an exposure, continuous injury, or injury-in-fact trigger and others holding that only the policy in effect at the time the injuries or damages are discovered is implicated. The insurance industry reacted in two ways to these developments. First, premiums on new occurrence policies skyrocketed, since the industry had come to a better appreciation of the true risks associated with such policy language. Second,
16587-490: The attention of a court, even though it also places the insured in the awkward position of defending itself against two lawsuits: the plaintiff's original complaint and the insurer's complaint for declaratory judgment. Indeed, in some jurisdictions an insurer acting in good faith must seek declaratory relief from a court before declining to defend its insured (e.g., Illinois) or withdrawing from its defense pursuant to an earlier reservation of rights (e.g., Georgia). Finally,
16758-774: The belated discovery of underground pollution, but from the time a plaintiff received the first of many cumulative exposures to a toxic substance or when the defendant initially released pollutants, and that such losses continued to keep occurring through every subsequent policy period (though they did not ripen into lawsuits until much later). The result was that insurers who had long ago closed their books on policies written 20, 30, or 40 years earlier now found that their insureds were being hit with hundreds of thousands of lawsuits that potentially implicated those old policies. A body of law has developed concerning which policies must respond to these continuous injury or "long tail" claims, with many courts holding multiple policies may be implicated by
16929-475: The bidding process for its next banking partner will involve "social responsibility." The City Council in Davis, California , took a similar action, voting unanimously to find a new bank to handle its accounts by the end of 2017. In March 2017, ING sold its stake in the loan, while retaining a potential risk in case of non-payment under the loan. Thirteen of the 17 banks that financed the pipeline were signatories to
17100-592: The brewery, but when the brewery moved out of the city in the 1990s, Thor Beer replaced it with a giant tank. A three-kilometer beer pipeline was completed in Bruges , Belgium in September 2016 to reduce truck traffic on the city streets. The village of Hallstatt in Austria, which is known for its long history of salt mining , claims to contain "the oldest industrial pipeline in the world", dating back to 1595. It
17271-403: The burden to insureds to immediately report new claims to insurers. They also force insureds to become more proactive about risk management and finding ways to control their own long-tail liability. Claims-made policies often include strict clauses that require insureds to report even potential claims and that combine an entire series of related acts into a single claim. This puts insureds in
17442-498: The capital was raised by the sale of ownership in Dakota Access, LLC to Enbridge and Marathon Petroleum. The loans were provided by a group of 17 banks, including Citibank , Wells Fargo , BNP Paribas , SunTrust , Royal Bank of Scotland , Bank of Tokyo-Mitsubishi , Mizuho Bank , TD Securities , ABN AMRO Capital , ING Bank , DNB ASA , ICBC , SMBC Nikko Securities and Société Générale . Due to pressure resulting from
17613-440: The complaint are clearly not covered. An insurer can choose to defend unconditionally without reserving any rights, but by doing so, it waives (or is later estopped from asserting) the absence of coverage as a defense to the duty to defend and impliedly commits to defending the insured to a final judgment or a settlement regardless of how long it takes (unless the policy expressly provides that defense costs reduce policy limits). In
17784-427: The complaint is totally silent) is insufficient to create a potential for coverage. Some jurisdictions allow extrinsic evidence to be considered, either because it is expressly described in the complaint or it is relevant to the facts expressly alleged in the complaint. If there is a duty to defend, it means the insurer must defend the insured against the entire lawsuit even if most of the claims or causes of action in
17955-414: The conditions, exclusions, and warranties included within the standard policies can be a burden. A company owning an industrial facility, for instance, may buy pollution insurance to cover lawsuits resulting from environmental accidents. Many small businesses do not secure general or professional liability insurance due to the high cost of premiums. However, in the event of a claim, out-of-pocket costs for
18126-406: The cost of defending the case might be more than the amount being claimed, especially in so-called "nuisance" cases where the insured must be defended even though no liability is ever brought to trial. Commercial liability is an important segment for the insurance industry. With premium income of USD 160 billion in 2013, it accounted for 10% of global non-life premiums of USD 1 550 billion, or 23% of
18297-532: The decision saying the pipeline would be safe and that the decision was "long overdue". Craig Stevens, spokesman for the Midwest Alliance for Infrastructure Now (MAIN) Coalition, called the Corps's announcement "yet another attempt at death by delay" and said the Obama administration "has chosen to further fan the flames of protest by more inaction." North Dakota Senator John Hoeven said in a statement that
18468-456: The delay "will only prolong the disruption in the region caused by protests and make life difficult for everyone who lives and works in the area." Speaking to CBS News in November, Kelcy Warren said that it would be "100 percent that the easement gets granted and the pipeline gets built" when newly elected president elect Donald Trump came into office on January 20, 2017. On December 4, 2016,
18639-498: The discharge time to empty the whole pipeline is estimated at 11.4 days. Capacity expansion construction was undertaken by Energy Transfer Partners in 2021, which increased the line's capacity from 570,000 bpd to its current nameplate of 750,000. The developer argued that the pipeline improves the overall safety to the public, would help the US to attain energy independence , and is a more reliable and safer method of transport to refineries than rail or road. Proponents have argued that
18810-560: The drivers of motor vehicles ( vehicle insurance ), those who offer professional services to the public, those who manufacture products that may be harmful, constructors and those who offer employment. The reason for such laws is that the classes of insured are deliberately engaging in activities that put others at risk of injury or loss. Public policy therefore requires that such individuals should carry insurance so that, if their activities do cause loss or damage to another, money will be available to pay compensation . In addition, there are
18981-413: The duty to defend is normally triggered by a potential for coverage. The test for a potential for coverage is whether the complaint adequately pleads at least one claim or cause of action which would be covered under the terms of the policy if the plaintiff were to prevail on that claim at trial, and also does not plead any allegations which would entirely vitiate an essential element of coverage or trigger
19152-405: The duty to defend, the duty to indemnify extends only to those claims or causes of action in the plaintiff's complaint which are actually covered under the policy, since a final judgement against the insured would normally be supported by a factual record in the trial court showing exactly why the plaintiff prevailed (or failed to prevail) on each claim or cause of action. Thus, an insurer could have
19323-609: The economic downturn in 2008. After faltering in 2009, demand for pipeline expansion and updating increased the following year as energy production grew. By 2012, almost 32,000 miles (51500 km) of North American pipeline were being planned or under construction. When pipelines are constrained, additional pipeline product transportation options may include the use of drag reducing agents, or by transporting product via truck or rail. Oil pipelines are made from steel or plastic tubes with inner diameter typically from 4 to 48 inches (100 to 1,220 mm). Most pipelines are typically buried at
19494-400: The employee to prove that the injury occurred in the course of employment. If a third party other than the employer actually caused the injury, then the workers' compensation insurer (or self-insured employer) who is ordered to pay an employee's claim is usually entitled to initiate a subrogation action in the regular court system against the third party. In turn, workers' compensation insurance
19665-481: The employer's negligence. Workers' compensation also does not cover intangible torts that merely cause emotional distress, or torts arising from management negligence and liability to shareholders. General management liability coverage may include directors and officers (D&O) liability insurance, employment practices liability (EPL) insurance, fiduciary liability insurance, and "special crime" insurance (kidnap, ransom, and extortion), either individually or as part of
19836-513: The field devices that will support remote operation. The pipeline is routed along what is known as a "right of way". Pipelines are generally developed and built using the following stages: Russia has "Pipeline Troops" as part of the Rear Services , who are trained to build and repair pipelines. Russia is the only country to have Pipeline Troops. The U.S. government, mainly through the EPA ,
20007-544: The field related to pressures, flows, and temperatures to estimate the hydraulic behavior of the product being transported. Once the estimation is completed, the results are compared to other field references to detect the presence of an anomaly or unexpected situation, which may be related to a leak. The American Petroleum Institute has published several articles related to the performance of CPM in liquids pipelines. The API Publications are: Liability insurance Liability insurance (also called third-party insurance )
20178-552: The global commercial lines premiums. Liability insurance is far more prevalent in the advanced than emerging markets. The advanced markets accounted for 93% of global liability premiums in 2013, while their share of global non-life premiums was 79%. The US is by far the largest market , with 51% of the global liability premiums written in 2013. This is due to the size of the US economy and high penetration of liability insurance (0.5% of GDP). In 2013, US businesses spent USD 84 billion on commercial liability covers, of which USD 50 billion
20349-588: The government regulated pipeline shipping charges because of the significantly shorter distance from gas source to consumer. To avoid delays and US government regulation, many small, medium and large oil producers in North Dakota have decided to run an oil pipeline north to Canada to meet up with a Canadian oil pipeline shipping oil from west to east. This allows the Bakken Basin and Three Forks oil producers to get higher negotiated prices for their oil because they will not be restricted to just one wholesale market in
20520-399: The industry began issuing claims-made policies, in which the policy covers only those claims that are first "made" against the insured during the policy period. A related variation is the claims-made-and-reported policy, in which the policy covers only those claims that are first made against the insured and reported by the insured to the insurer during the policy period (which often include
20691-512: The insurance industry was up to in trying to use claims-made policies to push a substantial amount of risk back to insureds, and claims-made coverage was the subject of extensive litigation in several countries throughout the 1970s, 1980s, and 1990s. This led to important decisions of the U.S. Supreme Court in 1978 and 1993 and of the Supreme Court of Canada in 1993. One way for businesses to cut down their liability insurance premiums
20862-408: The insured has a right to independent counsel, also known as Cumis counsel . The insurer can also seek a declaratory judgment against the insured that there is no coverage for the claim, or at least no potential for coverage. This option generally allows the insurer to insulate itself from a bad faith claim, in the sense that an insurer acts in good faith when it promptly brings coverage disputes to
21033-451: The insured under any theory. The duty to settle is of the greatest importance in the scenario where the insured may have some liability exposure (i.e., there is some evidence apparently linking the insured to the causation of the plaintiff's alleged injuries), the plaintiff has evidence of substantial damages which may exceed policy limits, and the plaintiff makes a settlement demand which equals or exceeds policy limits. In that situation,
21204-428: The insured while participating in trial.) While the insurer may be indifferent in this scenario as to whether it pays out its policy limits before or after trial, the insured is most certainly not. If the first outcome above were to occur, the insured may be held liable to the plaintiff for a sum far in excess of both the pretrial settlement offer and the policy limits. Then after the insurer pays out its policy limits,
21375-449: The insurer bear no liability. If the first outcome occurs, then it is essentially "nothing gained nothing lost" from the insurer's point of view, because either way it will pay out its policy limits. (For simplicity, this analysis disregards sunk costs in the form of defense costs incurred to that point, as well as additional costs sustained by the insurer in defending the insured to a verdict at trial, and opportunity costs sustained by
21546-406: The insurer can decline to defend and also refrain from seeking declaratory judgment. If the insurer is absolutely certain that there is no coverage or no potential for coverage, then in most jurisdictions the insurer adequately preserves its defenses to coverage by sending a letter to the insured explaining its position and declining to provide a defense. But this option can be very risky, because if
21717-401: The insurer chooses to defend, it may either defend the claim with its own in-house lawyers (where allowed), or give the claim to an outside law firm on a "panel" of preferred firms which have negotiated a standard fee schedule with the insurer in exchange for a regular flow of work. The decision to defend under a reservation of rights must be undertaken with extreme caution in jurisdictions where
21888-443: The insurer is subject to a duty to settle reasonably clear claims. The standard judicial test is that an insurer must settle a claim if a reasonable insurer, notwithstanding any policy limits, would have settled the claim. This does not require an insurer to accept or pay settlement offers that actually exceed policy limits, but in that instance, the insurer must discharge its duty to settle by at least making an attempt to bring about
22059-467: The insurer should have paid under its duty to indemnify. But this will be circumscribed by the policy limits, and will generally not compensate the insured for losses incurred as a consequence of the insurer's breach, such as lost business opportunities when money intended to be invested in those opportunities was diverted (or seized) to pay judgments. In the United States (and to a lesser extent, Canada), an insurer who breaches any of these three duties in
22230-409: The insurer's interests conflict with the insured's interests, because the insurer has an incentive to not immediately settle. That is, if the insurer refuses to settle and the case then goes to trial, there are only two possible outcomes: (1) the insured loses and the insurer must pay the ensuing judgment against the insured up to the policy limits, or (2) the insured wins, meaning both the insured and
22401-450: The liability of these industries or choose to apply a large deductible in order to minimise the potential compensations. Private individuals also occupy land and engage in potentially dangerous activities. For example, a rotten branch may fall from an old tree and injure a pedestrian, and many people ride bicycles and skateboards in public places. The majority of states require motorists to carry insurance and criminalise those who drive without
22572-466: The lifeline of the Roman Empire. The ancient Chinese also made use of channels and pipe systems for public works. The famous Han dynasty court eunuch Zhang Rang (d. 189 AD) once ordered the engineer Bi Lan to construct a series of square-pallet chain pumps outside the capital city of Luoyang . These chain pumps serviced the imperial palaces and living quarters of the capital city as
22743-416: The mainland. In 1994, the pipeline was abandoned. In places, a pipeline may have to cross water expanses, such as small seas, straits and rivers. In many instances, they lie entirely on the seabed. These pipelines are referred to as "marine" pipelines (also, "submarine" or "offshore" pipelines). They are used primarily to carry oil or gas, but transportation of water is also important. In offshore projects,
22914-413: The most economical way to transport large quantities of oil, refined oil products or natural gas over land. For example, in 2014, pipeline transport of crude oil cost about $ 5 per barrel, while rail transport cost about $ 10 to $ 15 per barrel. Trucking has even higher costs due to the additional labor required; employment on completed pipelines represents only "1% of that of the trucking industry.". In
23085-526: The oil to the market that gives the best price, and rail cars can be used to avoid a congested oil pipeline to get the oil to a different pipeline in order to get the oil to market faster or to a different less busy oil refinery. However, pipelines provide a cheaper means to transport by volume. Enbridge in Canada is applying to reverse an oil pipeline going from east-to-west (Line 9) and expanding it and using it to ship western Canadian bitumen oil eastward. From
23256-451: The operation, operator training requirements, pipeline facilities, technology and applications required to ensure operational safety. For example, in the State of Washington it is mandatory for pipeline operators to be able to detect and locate leaks of 8 percent of maximum flow within fifteen minutes or less. Social factors also affect the operation of pipelines. Product theft is sometimes also
23427-681: The pipeline citing concerns that the pipeline could be used as a replacement if the Keystone XL pipeline is not built. Saying that "the Corps effectively wrote off the tribe's concerns and ignored the pipeline's impacts to sacred sites and culturally important landscapes", the Standing Rock Sioux Tribe has sued the USACE in the United States District Court for the District of Columbia , accusing
23598-448: The pipeline extends about 347 miles (558 km) diagonally through 18 Iowa counties: Lyon , Sioux , O'Brien , Cherokee , Buena Vista Sac , Calhoun , Webster , Boone , Story (which will have a pumping station), Polk , Jasper , Mahaska Keokuk , Wapello , Jefferson , Van Buren , and Lee . The system includes one electric pump station. In Illinois, the 177-mile (285 km) route traverses 12 counties. Most of
23769-431: The pipeline on March 10, 2016, on a vote of 3 to 0, being the last of four states utility regulators granting its approval. The approval came after 18 public information meetings, pre-filled testimony, thousands of public comments, and 12 days of public hearings. Conditions of the approval included liability insurance of at least $ 25 million; guarantees that the parent companies of Dakota Access will pay for damages created by
23940-572: The pipeline still remains fully operational to this day. The pipeline cost $ 3.78 billion, of which $ 1.4 billion was invested in the North Dakota portion, $ 820 million was invested in the South Dakota portion, $ 1.04 billion was invested in the Iowa portion, and $ 516 million was invested in the Illinois portion. The pipeline has a permanent easement of 50 feet (15 m) and
24111-422: The pipeline to be received at any other station down-stream, either cleaning wax deposits and material that may have accumulated inside the line or inspecting and recording the condition of the line. For natural gas, pipelines are constructed of carbon steel and vary in size from 2 to 60 inches (51 to 1,524 mm) in diameter, depending on the type of pipeline. The gas is pressurized by compressor stations and
24282-411: The pipeline was built with permits issued under state law. Federal jurisdiction arises through the United States Army Corps of Engineers for 37 miles of the pipeline where it passes over or under streams, rivers, and federal dams. The USACE has conducted a limited review of the route, involving an environmental assessment of river crossings and portions of the project related to specific permits, and issued
24453-474: The pipeline will free up railroads, which will allow farmers to ship more Midwest grain. As of July 2014, Bakken shale oil was transported through nine Iowa counties exclusively via three freight trains per week. As of June 2014, 32 trains per week carrying Bakken oil traveled through Jo Daviess County in northwestern Illinois. The pipeline is owned by Energy Transfer (36.4% stake), MarEn Bakken Company LLC, and Phillips 66 Partners. MarEn Bakken Company LLC
24624-517: The pipeline would create between 12 and 15 permanent jobs and from 2,000 to 4,000 temporary jobs in Iowa. The $ 1.35 billion capital investment in Iowa was projected to generate $ 33 million sales tax in Iowa during construction and $ 30 million property tax in 2017. Energy Transfer hired "Strategic Economics Group" in West Des Moines to prepare this analysis. In September 2014, Dakota Access held an initial informational meeting with
24795-767: The pipeline would cross the Big Sioux River and the Big Sioux Wildlife Management Area; these are historic and cultural sites of the Upper Sioux tribe , including graves in Lyon County. Also in May 2016, Iowa farmers filed lawsuits to prevent the state from using eminent domain. In June 2016, the IUB voted 2 to 1 ( Libby Jacobs and Nick Wagner in favor and Chairwoman Geri Huser against) to allow construction on non-sovereign lands to continue. The Sierra Club said this action
24966-408: The pipeline's "effects on the quality of the human environment" enough, ordering the United States Army Corps of Engineers to conduct a new environmental impact review. In July 2020, Judge Boasberg ordered the pipeline to be shut down and emptied of oil pending a new environmental review. The temporary shutdown order was overturned by a U.S. appeals court on August 5, 2020 though the environmental review
25137-407: The plaintiff may attempt to recover the remaining balance of the judgment by enforcing writs of attachment or execution against the insured's valuable assets. This is where the duty to settle comes in. To discourage the insurer from gambling with the insured's assets in pursuit of the remote possibility of a defense verdict (under which it can avoid having to pay the plaintiff anything at all),
25308-402: The policy period as a result of an act or omission of the insured. This was originally not a problem because it was thought that insureds' tort liability was predictably limited by doctrines like proximate cause and statutes of limitations . In other words, it was thought that no sane plaintiffs' lawyer would sue in 1978 for a tortious act that allegedly caused a covered loss in 1953, because
25479-596: The project to the Iowa Utilities Board (IUB), after Iowa Governor Terry Branstad rejected requests from community and environmental activists who asked him to block plans. In December 2014 Dakota Access submitted an application for a permit from the North Dakota Public Service Commission for the proposed route. In January 2015, Dakota Access filed the application with the IUB. In February 2015, it filed applications with
25650-576: The project's environmental effects. On September 9, 2016, the US Departments of Justice, Army , and Interior issued a joint statement to temporarily halt the project on federal land bordering or under the Lake Oahe reservoir. The US federal government asked the company for a "voluntary pause" on construction near the area until further study was done in the region extending 20 miles (32 km) around Lake Oahe. Energy Transfer Partners rejected
25821-418: The public, visitors, trespassers, sub-contractors, etc. who may be physically injured or whose property may be damaged or both). It varies from state to state as to whether either or both employer's liability insurance and public liability insurance have been made compulsory by law. Regardless of compulsion, however, most organizations include public liability insurance in their insurance portfolio even though
25992-584: The relevant data required. These instruments are installed along the pipeline on some specific locations, such as injection or delivery stations, pump stations (liquid pipelines) or compressor stations (gas pipelines), and block valve stations. The information measured by these field instruments is then gathered in local remote terminal units (RTU) that transfer the field data to a central location in real time using communication systems, such as satellite channels, microwave links, or cellular phone connections. Pipelines are controlled and operated remotely, from what
26163-516: The request and resumed construction. On September 13, 2016, chairman and CEO of Energy Transfer Partners Kelcy Warren said concerns about the pipeline's impact on the water supply were "unfounded", that "multiple archaeological studies conducted with state historic preservation offices found no sacred items along the route" and that the company would meet with officials in Washington "to understand their position and reiterate our commitment to bring
26334-425: The risk of dismissal was so obvious. In the 1970s and 1980s, a large number of major toxic tort (primarily involving asbestos and diethylstilbestrol ) and environmental liabilities resulted in numerous judicial decisions and statutes that radically extended the so-called "long tail" of vulnerable policies. Policyholders started to argue that losses began to occur not only at the time of a plaintiff's diagnosis or
26505-569: The route was chosen based on it running alongside existing infrastructure including railways and other pipelines. The Mandan, Hidatsa, and Arikara Nation (known as the Three Affiliated Tribes) originally supported the Standing Rock Sioux tribe in its protest of the pipeline. The tribe later argued against shutting down the pipeline, citing significant financial harm to the tribe who uses the pipeline to transport 60 percent of oil produced on its land. The Meskwaki tribe opposed
26676-445: The sea, that process is economically and technically demanding, so the majority of oil at sea is transported by tanker ships . Similarly, it is often more economically feasible to transport natural gas in the form of LNG, however the break-even point between LNG and pipelines would depend on the volume of natural gas and the distance it travels. The market size for oil and gas pipeline construction experienced tremendous growth prior to
26847-503: The spread of invasive weeds into surrounding land. In 2014, conservation groups raised concerns about safety , and the impacts on air, water, wildlife and farming, because of the risk of the pipeline disruption. Groups such as Greenpeace , the Science & Environmental Health Network , and in 2016 a group of more than 160 scientists spoke out against the pipeline. In 2016, environmentalists and Native Americans expressed concerns
27018-615: The target of military attacks. It is well documented when the first crude oil pipeline was built. Credit for the development of pipeline transport belongs indisputably to the Oil Transport Association, which first constructed a 2-inch (51 mm) wrought iron pipeline over a 6-mile (9.7 km) track from an oil field in Pennsylvania to a railroad station in Oil Creek , in the 1860s. Pipelines are generally
27189-462: The transport of ethanol by pipeline are its corrosive nature and tendency to absorb water and impurities in pipelines, which are not problems with oil and natural gas. Insufficient volumes and cost-effectiveness are other considerations limiting construction of ethanol pipelines. In the US minimal amounts of ethanol are transported by pipeline. Most ethanol is shipped by rail, the main alternatives being truck and barge. Delivering ethanol by pipeline
27360-504: The underlying accident first occurred. Claims-made coverage also makes it harder for insureds to switch insurers, as well as to wind up and shut down their operations. It is possible to purchase "tail coverage" for such situations, but only at premiums much higher than for conventional claims-made policies, since the insurer is being asked to re-assume the kind of liabilities which claims-made policies were intended to push to insureds to begin with. Not surprisingly, insureds recognized what
27531-480: The water crossing permits and issued all but one permission necessary for the pipeline construction. On July 27, 2016, the Standing Rock Sioux Tribe sued the USACE in the United States District Court for the District of Columbia . The motion for preliminary injunction was denied in the U.S. District Court in September 2016. In September 2016, the Standing Rock Sioux Tribe filed an appeal which
27702-557: The water lifted by the chain pumps was brought in by a stoneware pipe system. Pipelines are useful for transporting water for drinking or irrigation over long distances when it needs to move over hills , or where canals or channels are poor choices due to considerations of evaporation , pollution , or environmental impact. The 530 km (330 miles) Goldfields Water Supply Scheme in Western Australia using 750 mm (30 inch) pipe and completed in 1903
27873-509: Was constructed from 13,000 hollowed-out tree trunks to transport brine 40 kilometres (25 mi) from Hallstatt to Ebensee . Between 1978 and 1994, a 15 km milk pipeline ran between the Dutch island of Ameland and Holwerd on the mainland, of which 8 km was beneath the Wadden Sea . Every day, 30,000 litres of milk produced on the island were transported to be processed on
28044-400: Was denied a month later. In August 2016, the joint venture of Enbridge (75%) and Marathon Petroleum (25%) agreed to purchase a 49% stake in Dakota Access, LLC for $ 2 billion. The deal was completed in February 2017 after the final easement was granted. In September 2016 the U.S Department of Justice received more than 33,000 petitions to review all permits and order a full review of
28215-605: Was illegal before the US Corps of Engineers authorized the project. In late June 2016, construction was allowed to resume in Lyon County after plans were changed to route the pipeline 85 feet (26 m) below the site using directional boring, instead of trenching and disturbing the soil on the surface. In December 2016, the approval was disputed in the Polk County District Court. In July and August 2016, The United States Army Corps of Engineers (USACE) approved
28386-402: Was not co-located with other infrastructure, the route's impacts to wellhead water resources, constraints on the route from the North Dakota Public Service Commission's 500-foot residential buffer requirement and the route's additional impacts to areas identified as High Consequence areas under Pipeline and Hazardous Materials Safety Administration regulations. The Bismarck route was rejected by
28557-497: Was on general liability, including USD 12 billion for Errors and Omissions (E&O) and USD 5.4 billion for Directors and Officers (D&O). US businesses spent another USD 13 billion on the liability portion of commercial multi-peril policies, USD 9.5 billion for medical malpractice and USD 3 billion for product liability covers. The UK is the world’s second largest market for liability insurance, with USD 9.9 billion of liability premiums in 2013. The largest sub-line of business
28728-523: Was opposed by the Standing Rock Sioux and the Cheyenne River Sioux tribes, despite it not crossing tribal lands. In September 2014, Standing Rock Chairman Dave Archambault II indicated the tribe's opposition to any pipeline within treaty boundaries encompassing "North Dakota, Montana, Wyoming and South Dakota." The tribe contended that the route would run across sacred sites and be a potential hazard to its water supply. Dakota Access stated
28899-490: Was proposed laying the pipeline 10 miles (16 km) northeast of Bismarck, North Dakota . The United States Army Corps of Engineers (USACE) evaluated alternative routes as part of compliance with the National Environmental Policy Act, including one route north of Bismarck, North Dakota. This alternative was determined not to be a viable alternative because of multiple factors, including that it
29070-987: Was the largest water supply scheme of its time. Examples of significant water pipelines in South Australia are the Morgan-Whyalla pipeline (completed 1944) and Mannum-Adelaide pipeline (completed 1955) pipelines, both part of the larger Snowy Mountains scheme . There are two Los Angeles, California aqueducts, the Owens Valley aqueduct (completed 1913) and the Second Los Angeles Aqueduct (completed 1970) which also include extensive use of pipelines. The Great Manmade River of Libya supplies 3,680,000 cubic metres (4,810,000 cu yd) of water each day to Tripoli, Benghazi, Sirte, and several other cities in Libya. The pipeline
29241-464: Was transporting over 500,000 barrels per day (79,000 m/d) and had transported approximately 182.5 million barrels (29.02 × 10 ^ m) of oil. By 2021, the pipeline had the ability to transport 750,000 barrels of oil per day and was accounting for 40 percent of oil produced in the Bakken region. United States District Judge James Boasberg ruled in March 2020 that the government had not studied
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