The Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA) is responsible for overseeing, monitoring and maintaining 2.3 million miles of pipeline. A recent investigation conducted by Hearst Newspapers discovered that the federal agency is heavily influenced by the gas and pipeline industry which exercises a significant amount of control over the regulatory body’s decisions.
U.S. Transportation Secretary Ray LaHood is working to limit industry influence in federal safety studies of the country’s onshore pipeline network. LaHood’s decision is directed against a 2002 Bush-era rule requiring the federal agency to receive at least half of its funding for safety research from outside sources. The Hearst investigation found that, since the ruling, the PHMSA’s research is largely managed according to industry interests.
The investigation revealed that out of 174 safety studies conducted in the last decade by the federal PHMSA, two-thirds were funded by pipeline operators or other industry-controlled groups. Of the total studies, 89 were funded by a combination of 5 industry organizations that provide research and 3 that provide lobbying expertise.