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USDOT declares energy emergency in Northeast US because of propane shortage

U.S. Department of Transportation declared a regional disaster for Delaware, New Jersey?, New York? and Pennsylvania because of cold weather, and an outage of power at a Pennsylvania gas refinery? that disrupted propane flow.

Declaratory action taken on Friday allows propane, natural gas and heating oil carriers to circumvent the maximum driving time rule while still providing direct assistance in an emergency.

Propane is a vital heating fuel, particularly during the winter months. It powers furnaces, water heaters, and stoves for homes and businesses. Cold snaps and winter storms may cause a shortage of propane, so timely deliveries are essential to maintaining?energy security.

The National Propane Gas Association states that the emergency is a result of an incident in November at Energy Transfer's Marcus Hook Terminal. The operator declared force majeure and implemented allocation to cover 70% of the contracted loads.

Energy Transfer didn't immediately respond to an inquiry for comment.

According to the Federal Motor Carrier Safety Administration of the USDOT, the emergency declaration would remain in place 'until the emergency ends or until 11:59 pm ET on December 25, 2015.

The department also stated that it could modify the declaration if necessary, including the modification of transportations and goods, or extend or terminate the declaration based on the conditions.

FMCSA stated that the exemption from the "declaration" only applied to shipments supporting humanitarian relief, and that it did not waive any other safety requirements such as drug and alcohol tests, commercial driver licenses, and hazardous materials regulations.

(source: Reuters)