Colonial Pipeline could face heavy fines for record NC gas leak

Source: Xinhua News Agency / Getty

The Colonial Pipeline will face a hefty fine, if the corporation fails to improve their current set of guidelines for detecting leaks.

According to an agreement with the U.S. Department of Transportation, Colonial will face a mandatory $200,000 fine per day. This comes after a leak of millions of gallons of gasoline in Huntersville, N.C., first reported by the Charlotte Observer.

It was eventually reported that almost 18 times more gasoline leaked from its pipe than originally estimated, according to the settlement with the U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration. The pipeline that distributes gas reserves to a majority of the eastern U.S. was also the subject of a cyber attack earlier this year.

It is the largest pipeline system for refined oil products in the nation– operating from Texas to New York, according to CPC’s website.

Colonial was ordered to fix troubleshooting gaps across its entire network to prevent future spills. The major leak discovered at a wildlife refuge outside of Charlotte was not a first occurrence for the company.

In addition to the fine from the feds, Colonial will likely face a separate fine from the state’s Department of Environmental Quality over the incident.