* Regulator wants Congress to pass pipeline safety reforms
* Bill would fine companies up to $2.5 mln for violations
* Lawmakers agree aging U.S. pipeline system needs help
By Tom Doggett
WASHINGTON, Sept 23 Following two major oil and
natural gas pipeline accidents in recent months, the top U.S.
pipeline regulator told Congress on Thursday she will take
tough enforcement action against companies that violate safety
Congress is looking at pipeline regulations after several
leaks on the Enbridge (ENB.TO) pipeline spilled thousands of
barrels of oil in Michigan and Illinois, and the explosion of a
PG&E Corp (PCG.N) natural gas pipeline in a San Francisco
suburb killed several people and destroyed homes.
Cynthia Quarterman, who heads the Pipeline and Hazardous
Materials Safety Administration, told a congressional hearing
her agency "through aggressive regulation and oversight, will
use its full enforcement authority to ensure that operators
meet pipeline safety standards."
U.S. authorities are probing the causes of both accidents
and the owners of the pipelines could face big fines.
Quarterman, testifying at the House Energy and Environment
Subcommittee, said the pipeline failures show her agency needs
stronger authority in its pipeline safety program.
The Obama administration has proposed legislation to more
than double maximum fines for violations to $2.5 million and
add more inspectors. But the legislation has little chance of
passing this year.
The U.S. agency regulates more than 2.5 million miles of
pipelines that transport oil, natural gas and other hazardous
Representative Edward Markey, the Democratic chairman of
the House subcommittee, agreed there was a need to boost safety
rules for the nation's aging pipeline system.
"Some of these pipes appear nearly as fossilized as the
fuel they transport," he said.
Representative Fred Upton, the top Republican on the House
panel, said any regulations should be as efficient.
"Legislation must be sensible and actually improve safety,
rather than impose arbitrary mandates that increase costs and
only create the appearance of safety," he said.
(Reporting by Tom Doggett; Editing by David Gregorio)