Should You Report Your Oil Spill?

When it comes to accidental release from a petroleum storage tank, not every leak is the same.

Sometimes a spill of petroleum products can look bigger than it actually is. Other times, a seemingly small leak could be a much larger issue than it first appears. So how do you know if an oil spill is reportable or not?

Watch our short video to learn from a licensed engineer what signs you should be aware of for a reportable release.

 

When To Report an Oil Spill

Understanding when to report a petroleum storage tank release at your facility can prevent potential legal and financial repercussions.

Volume doesn’t necessarily determine whether an oil spill needs reporting. A small leak from an underground storage tank could be reportable. In addition, reportable quantities vary from state to state.

You should report an oil spill if:

  • It leaves the boundaries of your property, including by entering a public sewer utility

  • It cannot be cleaned up within 24 hours

  • It enters state waters, such as inland waterways, navigable waters, commercially important waterways, or other natural resources

  • You contacted emergency management or responders to aid in cleanup or risk reduction

Timely spill reporting is not just about minimizing environmental impact. It can also be financially beneficial.

You may be required to report a spill to maintain eligibility for state aid or insurance coverage, even if your facility is insured for pollution liability. In fact, depending on the source of the release and state regulations, reporting is the only way to gain access to public funds for investigation and cleanup.

Neglecting to report an oil spill, particularly one from an underground storage tank, could lead to the loss of state-provided financial coverage and enforcement action. Quick reporting also ensures eligibility for further assistance with related investigations, cleanups, and spill response.

 

Where to Report During Emergency Response

When a reportable release occurs in navigable waters or adjoining shorelines, you are required to report it to the federal government. You should contact the National Response Center at its 24-hour hotline. The U.S. Environmental Protection Agency (EPA) has different requirements based on how much fuel is released, where it goes, and how it may impact public health or the surrounding environment. Whether it is a single release or multiple smaller spills in a 12-month period, the EPA has determined that discharges of oil are reportable if they could:

  • Be harmful to the public

  • Violate applicable water quality standards

  • Cause a film, "sheen," or discoloration on the surface of the water or adjoining shorelines

  • Cause a sludge or emulsion to be deposited beneath the surface of the water or upon adjoining shorelines

It is crucial to be transparent when reporting a spill, document the discovery and initial abatement, and provide consistent communication with all parties involved. If there are no immediate efforts taken after a spill, authorities could pursue legal action against responsible parties.

All states approach regulations, reporting requirements, enforcement, and fines in different ways. In some cases, if the spill stays on site and you are proactive in reporting and responding with a qualified professional, it is possible to avoid fines and other enforcement actions.

But if your spill trespasses onto other private property, public lands, or waterways such as a stream or lake, the likelihood of civil penalties increases. You would be required to notify affected property owners and work under federal, state, and local government regulations of the affected area.

 

The Risks of Unreported Oil Spills

Petroleum storage tank releases pose a significant risk to the environment and human health. Failing to report such incidents can lead to severe consequences, both in terms of financial liability and public safety.

It is essential to maintain transparency in the event of an oil spill. Unreported spills may not only jeopardize your facility's reputation, but you risk large civil penalties and loss of insurance funds. Failing to work within the regulations can make an already costly situation even more expensive.

Based on how big the spill is, possible outcomes include:

  1. A small spill: A spill under the locally reportable volume (typically 10-55 gallons) that stays on the same property and is cleaned up within 24 hours typically does not require a report to regulatory authorities.

  2. Trespass by nuisance: A spill that leaves your property and extends into a drainage ditch, a public utility, a water supply, or a waterway can turn into a costly situation. Quick and efficient cleanup response is critical to avoid potential regulatory scrutiny, lawsuits, civil penalties, and environmental emergency.

    In one case, GHP responded to a fuel release that was less than 50 gallons but traveled along a curb and got into a storm conveyance. The fuel ended up contaminating a large retention pond. This resulted in $100,000 of penalties and cleanup.

    If contamination already exists on site, the location of the fuel plume could change due to a natural disaster. Hurricanes and flooding could alter the groundwater table, pushing the contamination in unpredictable directions and escalating the severity of the existing spill.

  3. Hazardous substance spills: City, county, and state agencies are required to respond to an oil spill that develops vapors hazardous to air quality. If the spill is large enough to cause a hazardous environment and damage occurs, such as fire, explosion, or evacuations, then the legal and financial cost could be more than a proactive reporting and cleanup.

It's imperative to document and report oil spills promptly, regardless of size, to avoid unnecessary expenses and potential legal proceedings.

 

The Biggest Benefits of Working with a Professional

Engaging with a qualified professional can enhance your company's response to petroleum storage tank releases. Whether you need help recovering a fuel loss as part of an emergency response or guidance on remedial action to protect human health and the environment, you will benefit from having a third-party qualified professional on your team.

A qualified professional such as GHP has:

  • Specialized certifications to respond to spills and manage hazardous waste and hazardous materials operations. Since these professionals are properly trained and certified, working with them typically fulfills local, state, and federal requirements.

  • Training to act as a first responder during emergency operations such as fuel release

Even if you have a Spill Prevention, Control, and Countermeasure (SPCC) plan in place, a qualified professional can further assist you in distinguishing between a reportable and non-reportable release. They are well-versed in environmental regulations so they can more effectively mitigate the risks associated with oil spills. Above all, they ensure that your company complies with required reporting, handling, and cleanup in order to avoid more costs down the road.

 
Previous
Previous

Saving Money with a Spill Prevention, Control, and Countermeasure (SPCC) Plan

Next
Next

Understanding the 2024 EPA Ban on Asbestos