The state of Missouri and federal government are at odds over the amount charged for pipeline violation fines. (Source: Shutterstock)
A regulatory disagreement led to the state of Missouri losing control over more than 1.5 million miles of natural gas pipelines, according to a Feb. 20 report in the Missouri Independent.
The fines the state charged for violations were too low, according to the federal government. Missouri’s current fines for pipeline violations can be anywhere between $20,000 and $200,000. The federal government charges between $272,000 and $2.7 million.
The federal Pipeline and Hazardous Materials Safety Administration notified the state in early January that its fine schedule was too low. Missouri, however, can only raise its fines through legislation, according to the report, and the federal government took control at the end of January.
Several lawmakers over the past few years have attempted to bring the state’s fines into compliance but were unsuccessful.
A rule to raise the penalties to compliance is included in the legislature’s overall utility regulation bill, which is unlikely to pass before the end of summer, according to the report.
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