Submitted by Suanne Z. Thamm
Reporter – News Analyst
December 10, 2014 12:19 p.m.
The Fernandina Maritime Exchange, Inc. (FMX) hosted a meeting on December 9, 2014 in the James S. Page Government Center in Yulee, FL. Approximately 50 people, including several elected officials and U.S. Coast Guard representatives, attended the meeting to listen to presentations affecting the Port of Fernandina, shipping and security matters.
Of particular interest to many audience members was an update on LNG – liquid natural gas – as a fuel source for vessels and trucks and the movement of LNG via tank containers through area ports. U.S. Coastguard Lt. Cmdr. Robert S. Butts (ret.), LNG Liaison for U.S. Coast Guard Sector Jacksonville, briefed the audience on the future of LNG as a fuel source for road and ocean going vessels, progress in converting vehicles to LNG, and safety concerns.
The turn toward LNG as a fuel source has gained momentum as a result of DEP requirements to cut down on carbon, sulfur and nitrogen oxide emissions. LNG is a clear, colorless, non-toxic liquid that forms when natural gas is cooled to minus 260 degrees Fahrenheit. The cooling process shrinks the volume of the gas 600 times making it easier to store and ship than conventional diesel fuel.
According to Butts, Jacksonville is well positioned to become a leader in LNG storage and delivery. There are no plans for the Port of Fernandina to become an LNG fueling facility or to handle LNG-fueled vessels. He emphasized that the Coast Guard does not issue LNG permits. The permitting process is regulated by the Federal Energy Regulatory Commission (FERC) www.ferc.gov, which to date has issued no permits. There are four LNG-powered vessels currently scheduled for delivery between 2015-2017. While there are many regulatory requirements that must first be met, Eagle LNG Partners is proposing to build along the St. Johns River the first LNG fueling facility on the Eastern Seaboard to supply to maritime, heavy duty trucking and rail in April 2016.
There is currently an LNG fueling station on Lane Avenue in Jacksonville that services fleets for companies like UPS that are converting from conventional gasoline and diesel.
Audience members expressed concern over locating LNG facilities near residential areas. Butts said that there is limited residential in the area of the current and proposed Jacksonville facility, and that the Coast Guard requires a 100-yard safety zone around vessels.
In response to audience questions, Butts said that the switchover to maritime LNG would have “no direct impact here in Fernandina Beach.” He said that in the United States today there has not been any transfer from trucked LNG to vessels, and that there is no application for the Port of Fernandina to carry out such activity.
In response to a question on the safety of LNG, USCG Captain Tom Allan said that LNG is safer when it lays in state than conventional fuel sources like gasoline or diesel. He said that LNG is classed as flammable, but not explosive.
Butts emphasized that the Coast Guard assesses risk for safety on the waterways, and that FERC issues permits following an analysis of safety issues and port characteristics. He said that the Coast Guard conducts annual security inspections of ports and spot checks for safety issues. Ocean Highway and Port Authority Commissioner Richard Bruce reported that the Port of Fernandina passed a recent annual inspection with flying colors.
The FMX (www.portoffernandinamaritimeexchange.org) is a business association of transportation stakeholders that in partnership with the Nassau County Ocean, Highway & Port Authority supports the financial success of the Port of Fernandina for growth in ship activity and jobs through the advancement in port facilities, highway, rail and warehousing throughout Nassau County.
Editor’s Note: Suanne Z. Thamm is a native of Chautauqua County, NY, who moved to Fernandina Beach from Alexandria,VA, in 1994. As a long time city resident and city watcher, she provides interesting insight into the many issues that impact our city. We are grateful for Suanne’s many contributions to the Fernandina Observer.
Suanne,Thanks for your great reporting. You folks at the Observer do a fine service for our community. One thing, this meeting was supposed to start off with Mr. Val Schwec, (commercial director, Kinder Morgans man at our Port ) Was to deliver a State of the Port Report. He was not at the meeting. Most of the folks in attendance were their for that presentation. The presentation on Liquefied Natural Gas was for us lay people’s consumption. Mr. Butts talked mostly about a delivery system to fuel tankers at Port. He with comments from Capt. Tom Allen (USCG ) talked of safety issues with LNG. He said that” Liquefied Natural Gas is safer than Gasoline or Diesel Fuel. He even mentioned that Jay Leno had some guy on his show doing tricks with LNG. wow all good stuff. Someone said that LNG is classified as Flammable Not Explosive. We should not worry about this stuff. O.K. for all are edification please go to ( hhp://timrileylaw.com/LNG.htm ) also Google Plymouth wa. LNG blast. We also need to discuss Vapor clouds of LNG and that Manufacturers of LNG can’t or will not put a nasty scent in the gas so it is odorless,
Suanne, thank you for this report ( and all of your careful reporting of meetings we should all attend, but sometimes can’t). If there are no plans for LNG transport in Fernandina, the language needs to be taken out of the Fernandina Beach Port Master Plan. Period. I am disappointed that the Kinder Morgan rep did not give his update so that the real issues for the local community could again be addressed.
The fact that Kinder Morgan is currently being sued by several communities where they purport to be “good community partners” is frightening. Now is the time to ensure that our Port remains a public facility with oversight by the City, and not a private port with no accountability and the ability to do whatever brings in profits for this Texas company.
Many folks don’t realize that Kinder and Morgan were ENRON execs. before they bailed on that company and started this one. Not a good sign.
Peggy, I’m of the same mind as you. The Headlines ring hollow. ” No plans for LNG at the Port” The Fernandina Maritime Exchange and the U,S. Coast Guard can say NO LNG AT THE PORT. But they are not the people who make that decision. Mr. Bruce of OHPA commission was there. He added nothing to the conversation. We, our community, needs to hear those words from the Ocean Highway and Port Authority Commissioners and Kinder Morgan’s commercial director.
wait, Spots Watkins was a senior shipping executive at the same firm as Richard Bruce, bet there is something more to this, somehow their pockets are going to be lined, bet there is more to this, I here you…Steve this is just another giant smoke screen, you better start digging.
Please, let someone with experience, such as firefighters explain what a BLEVE is. That would be a Boiling Liquid Expanding Vapor Explosion! This is what happens to LNG tanks when exposed to flames. The tanks are only 1/3 full of LNG, the rest of the tank is the vapor caused by such flammable material. If it is heated enough, such as in a collision or derailing resulting in a fire, the vapor expands and explodes. The average truck tank carrying LNG blowing up under such circumstance would have a blast radius of about two miles. Check out our geography. Our Island is only about two and one half miles wide at the most. Do the math. Such materials being transported into or off our island puts thousands of lives and hundreds of million dollars in property value at risk. Are the pittance in extra tax dollars worth that? I think not.
Perhaps with two new commissioners who have common sense, we will not be subject to such catastrophic danger. Thanks to all who voted with the best interests of our lovely city in mind.
billy, Thank you for painting that picture. I think that even the ” Tourism is no industry” crowd can picture what you described. In the Plymouth Wa. Accident, They had to evacuate a two mile radius. The Vapor Cloud, dispersed and did not explode. But people have documented over 30 accidents with LNG. That caused death and distraction, dating back to 1944 that destroyed one square mile of Cleveland Ohio, killing 131 people, injured 225. I’d like to set the record straight. At the Fernandina Maritime Meeting on Dec. 9th. it was OHPA Commissioner Bruce that informed the crowd that Liquid Natural Gas is classified as Flammable not Explosive. Capt. Tom Allen USCG and Mr. Butts concurred. Again thank you Billy.