State Of Emergency Declared In Virginia Over Gasoline Shortages

VIRGINIA/DC — Virginia Gov. Ralph Northam declared a state of emergency Tuesday afternoon to address gasoline supply disruptions across the state due to a cyberattack on the Colonial Pipeline.

Last Friday, the Colonial Pipeline system, which is the primary fuel source for many Virginia retailers, reported a ransomware cyberattack that resulted in a temporary shutdown.

Northam's emergency declaration allows state agencies to issue environmental waivers in order to limit the fuel shortages. Earlier Tuesday, the U.S. Environmental Protection Agency issued its own Clean Air Act waiver for parts of Virginia and Washington, D.C., along with other areas in the Mid-Atlantic region, to help alleviate fuel shortages due to the cyberattack on the Colonial Pipeline.

Virginia's emergency declaration also provides increased flexibility and funding for state and local governments to ensure adequate fuel supply.

The Colonial Pipeline runs from Texas to New Jersey and delivers about 45 percent of the fuel used along parts of the East Coast.

By Tuesday afternoon, gas stations in Northern Virginia were reporting gasoline shortages. An Exxon gas station at the corner of Lee Highway and Washington Blvd. in Arlington reported it had completely run out of gas as of 2:45 p.m. The owner said he did not know when his suppliers would be able to replenish his tanks.

The Exxon gas station owner advised the public to pay attention to the news and make sure to fill up their tanks when they come across a station with supplies.

By 4 p.m. Tuesday, 7.7 percent of the gas stations in Virginia did not have fuel, according to outage figures reported by GasBuddy, an app that tracks fuel prices and demand.

The fact that Northam has declared a state of emergency "is of paramount relevance because it will help to prevent supply disruptions — realized or expected — across the state of Virginia," John B. Townsend II, manager of public and government affairs for AAA Mid-Atlantic, told Patch.

The shutdown of the pipeline will have a temporary impact on gasoline prices, which were already trending higher. The increase in crude oil prices comes as several Gulf Coast refineries have reduced runs as a result of the Colonial Pipeline shutdown.

"Colonial is manually operating a segment of the pipeline from North Caroline to Maryland," Townsend said. "That bodes well."

On Tuesday, the EPA waived requirements for fuel sold in reformulated gasoline (RFG) areas of the District of Columbia, Maryland, Pennsylvania and Virginia to facilitate the supply of gasoline. Reformulated gasoline is gasoline blended to burn more cleanly than conventional gasoline and to reduce smog-forming and toxic pollutants.

Given its population and the size of its vehicle fleet, the Washington metropolitan area is classified as a reformulated gasoline covered area under the Clean Air Act. The waiver issued Tuesday, which covers summer grade gasoline, will continue through May 18.

Refineries produce a more expensive fuel blend in the summer to cut down on smog during hot months.

The Clean Air Act allows the EPA administrator, in consultation with the Department of Energy, to waive certain fuel requirements to address shortages.

The waiver lifts requirements for areas that would otherwise have to sell cleaner-burning gasoline to reduce tailpipe emissions of ozone-forming pollutants. It applies in key urban areas in those states that have ongoing air quality problems, including D.C., Northern Virginia, Richmond and Hampton Roads.

As a result of the Colonial Pipeline shutdown, EPA Administrator Michael Regan determined that “extreme and unusual fuel supply circumstances exist and has granted a temporary waiver to help ensure that an adequate supply of gasoline is available in the affected areas until normal supply to the region can be restored.”

The EPA and the Department of Energy determined that granting the short-term waiver was consistent with the public interest. Both agencies are considering additional measures to alleviate the impact of the attack on the Colonial Pipeline.

The Clean Air Act has strict criteria for when fuel waivers may be granted.

Under the waiver, fuel suppliers can temporarily sell their stockpiles of lower-grade gasoline that normally could not be sold in those regions through May 18. Any lower-grade fuel in the distribution system on that date can still be distributed and sold after the deadline.

The EPA typically issues such waivers after natural disasters have damaged refineries or fuel distribution infrastructure. The agency also can act whenever there is a major fuel supply disruption. For example, EPA issued two fuel waivers to Texas earlier this year in response to the deep freeze that plagued the state and caused fuel shortages.

RELATED: Cyberattack On Colonial Gas Pipeline: DC, VA Prices May Increase