Portland faces pressure to reduce storage capacity at fuel hub amid quake risks
The city’s proposal to reduce storage capacity at the fuels hub in Northwest Portland has drawn sharp criticism from community advocates and others who argue the proposed timeline is dangerously slow given seismic risks and climate threats. The clash came to a head at a Planning Commission hearing Tuesday night as city staff outlined a plan for a 20% reduction to be completed by 2036. Environmental activists, tribal representatives and neighborhood groups pressed for the drawdown to start immediately and called for raising the targets as fuel use falls statewide. The dueling proposals are part of an effort to chart a future path for the Critical Energy Infrastructure Hub, a 6-mile stretch on the Willamette River along U.S. 30 between the Fremont Bridge and the southern tip of Sauvie Island. Eleven companies own fuel terminals there that store crude oil, diesel, renewable diesel and other fuels in more than 400 aging tanks. Over 90% of Oregon’s fuel supply comes through the hub. Numerous studies, including a seismic risk assessment by Multnomah County, have shown the fuels could spill and explode if the soil under the tanks liquifies during a massive earthquake generated by the Cascadia Subduction Zone. The hub also faces numerous climate threats, including wildfires, flooding and landslides. Earlier this year, the city outlined four alternatives for the hub’s future, including a 17% drawdown of existing unused tank storage capacity. The three other alternatives did not call for reducing fuel storage – two called for the expansion or limited expansion of renewable and aviation fuels at the hub and a third prohibited all fuel expansion but without a drawdown. Ultimately, after considering community input, city staff settled on the most stringent option and their proposed draft for the hub’s future recommends a 20% drawdown on existing unused fuel storage capacity by 2036 as well as amendments to prohibit fuel expansion at existing terminals and to support risk reduction at the hub. Under the city proposal, companies at the hub would have to submit a baseline inventory of in-service tank capacity by October 2026. Whether companies abide by the drawdown requirement would be measured in 10 years – there are no interim requirements, something many advocates criticized.Aster Bloem, a spokesperson with the Portland Bureau of Planning and Sustainability, said the 2036 timeline aligns with how long companies at the hub have to complete seismic tank upgrades as required under a new Oregon law and monitored by the Oregon Department of Environmental Quality. The 10-year timeline also gives the companies time to figure out which tanks will come out of service and to reconfigure the remaining storage tank capacity, she said. Interim drawdown requirements could potentially interfere with the seismic upgrades, Bloem said.But activists with several community groups said Portland should speed up the drawdown timeline and make fuel storage reduction targets even more stringent. Multiple speakers urged the city to impose the drawdown requirement immediately, or as soon as the City Council adopts the policy code. “The city cannot wait 10 years to act, yet BPS (the Bureau of Planning and Sustainability) proposals do nothing to meaningfully reduce the risk over the next decade. We cannot afford that delay,” Heather King, the co-executive director of the nonprofit Willamette Riverkeeper, told the commission. The city reached its calculation of a 20% drawdown by 2036 based on a percentage of empty space in tanks now. Federal data shows that currently, on average, tanks are filled only to 70% of their capacity, leaving 30% empty. About a third of that empty space is reserved to prevent spills, said city planner Tom Armstrong. The drawdown target would mean companies at the hub could no longer use the empty excess space to store more fuel. City officials said Oregon’s need for fuel will decrease slightly by 2036, making it somewhat easier to restrict the use of tank space by that time without affecting fuel supply reliability in the state. If that’s the case, said opponents, then why not make the companies reduce their capacity now. A 20% drawdown is already possible and should be implemented right away, community groups said. Advocates proposed measuring drawdown needs based on actual tank daily fill levels reported to the Oregon fire marshal’s office, rather than estimated tank capacity based on federal Energy Information Administration data. The state data showed that only 40% of the tanks’ overall capacity is being used on average instead of 70% according to the federal data. “Drawdown must be based on data, not projections based on best ‘guesses,’” said Nancy Hiser, a Linnton resident and community advocate who for years has warned about the dangers of an earthquake-caused spill at the hub. Advocates also said adjustments to the drawdown restrictions should be done every three to five years to align with the decrease in Oregon’s demand for liquid fuels and as the state transitions to electrification of cars and trucks. Bloem, the bureau spokesperson, said city staff matched the federal data with a storage tank capacity inventory that they compiled from Multnomah County and DEQ data. The resulting modeling estimated how much of their available storage companies use each year.The state data, on the other hand, is less useful, Bloem said, because it includes only average daily volumes and peak daily volumes, not total volumes. Also, due to confidentiality rules, the city cannot report data for individual terminals, she said. Bloem said the city will continue to monitor the hub and may adjust the drawdown requirements, beyond the 10 years. “As the fuel needs in Oregon change, there could be future opportunities to change the city’s requirements,” she said. The public can continue to submit written testimony until Friday.The Planning Commission will discuss the proposals during two work sessions in January and February. The commission will vote Feb. 10 on its recommendation to the City Council. Another opportunity to provide testimony will be open from Jan. 13 to Jan. 23.
Community activists want the 20% drawdown to start immediately while the city proposes to complete it by 2036.
The city’s proposal to reduce storage capacity at the fuels hub in Northwest Portland has drawn sharp criticism from community advocates and others who argue the proposed timeline is dangerously slow given seismic risks and climate threats.
The clash came to a head at a Planning Commission hearing Tuesday night as city staff outlined a plan for a 20% reduction to be completed by 2036.
Environmental activists, tribal representatives and neighborhood groups pressed for the drawdown to start immediately and called for raising the targets as fuel use falls statewide.
The dueling proposals are part of an effort to chart a future path for the Critical Energy Infrastructure Hub, a 6-mile stretch on the Willamette River along U.S. 30 between the Fremont Bridge and the southern tip of Sauvie Island.
Eleven companies own fuel terminals there that store crude oil, diesel, renewable diesel and other fuels in more than 400 aging tanks. Over 90% of Oregon’s fuel supply comes through the hub.
Numerous studies, including a seismic risk assessment by Multnomah County, have shown the fuels could spill and explode if the soil under the tanks liquifies during a massive earthquake generated by the Cascadia Subduction Zone. The hub also faces numerous climate threats, including wildfires, flooding and landslides.
Earlier this year, the city outlined four alternatives for the hub’s future, including a 17% drawdown of existing unused tank storage capacity. The three other alternatives did not call for reducing fuel storage – two called for the expansion or limited expansion of renewable and aviation fuels at the hub and a third prohibited all fuel expansion but without a drawdown.
Ultimately, after considering community input, city staff settled on the most stringent option and their proposed draft for the hub’s future recommends a 20% drawdown on existing unused fuel storage capacity by 2036 as well as amendments to prohibit fuel expansion at existing terminals and to support risk reduction at the hub.
Under the city proposal, companies at the hub would have to submit a baseline inventory of in-service tank capacity by October 2026. Whether companies abide by the drawdown requirement would be measured in 10 years – there are no interim requirements, something many advocates criticized.
Aster Bloem, a spokesperson with the Portland Bureau of Planning and Sustainability, said the 2036 timeline aligns with how long companies at the hub have to complete seismic tank upgrades as required under a new Oregon law and monitored by the Oregon Department of Environmental Quality.
The 10-year timeline also gives the companies time to figure out which tanks will come out of service and to reconfigure the remaining storage tank capacity, she said. Interim drawdown requirements could potentially interfere with the seismic upgrades, Bloem said.
But activists with several community groups said Portland should speed up the drawdown timeline and make fuel storage reduction targets even more stringent.
Multiple speakers urged the city to impose the drawdown requirement immediately, or as soon as the City Council adopts the policy code.
“The city cannot wait 10 years to act, yet BPS (the Bureau of Planning and Sustainability) proposals do nothing to meaningfully reduce the risk over the next decade. We cannot afford that delay,” Heather King, the co-executive director of the nonprofit Willamette Riverkeeper, told the commission.
The city reached its calculation of a 20% drawdown by 2036 based on a percentage of empty space in tanks now. Federal data shows that currently, on average, tanks are filled only to 70% of their capacity, leaving 30% empty. About a third of that empty space is reserved to prevent spills, said city planner Tom Armstrong.
The drawdown target would mean companies at the hub could no longer use the empty excess space to store more fuel.
City officials said Oregon’s need for fuel will decrease slightly by 2036, making it somewhat easier to restrict the use of tank space by that time without affecting fuel supply reliability in the state.
If that’s the case, said opponents, then why not make the companies reduce their capacity now.
A 20% drawdown is already possible and should be implemented right away, community groups said.
Advocates proposed measuring drawdown needs based on actual tank daily fill levels reported to the Oregon fire marshal’s office, rather than estimated tank capacity based on federal Energy Information Administration data. The state data showed that only 40% of the tanks’ overall capacity is being used on average instead of 70% according to the federal data.
“Drawdown must be based on data, not projections based on best ‘guesses,’” said Nancy Hiser, a Linnton resident and community advocate who for years has warned about the dangers of an earthquake-caused spill at the hub.
Advocates also said adjustments to the drawdown restrictions should be done every three to five years to align with the decrease in Oregon’s demand for liquid fuels and as the state transitions to electrification of cars and trucks.
Bloem, the bureau spokesperson, said city staff matched the federal data with a storage tank capacity inventory that they compiled from Multnomah County and DEQ data. The resulting modeling estimated how much of their available storage companies use each year.
The state data, on the other hand, is less useful, Bloem said, because it includes only average daily volumes and peak daily volumes, not total volumes. Also, due to confidentiality rules, the city cannot report data for individual terminals, she said.
Bloem said the city will continue to monitor the hub and may adjust the drawdown requirements, beyond the 10 years. “As the fuel needs in Oregon change, there could be future opportunities to change the city’s requirements,” she said.
The public can continue to submit written testimony until Friday.
The Planning Commission will discuss the proposals during two work sessions in January and February. The commission will vote Feb. 10 on its recommendation to the City Council. Another opportunity to provide testimony will be open from Jan. 13 to Jan. 23.
