CN Settles Claims for Spills in 2005

By 250 News

Prince George, B.C.- CN Rail has reached settlements on all outstanding charges related to derailments that occurred at Wabamun, Alta. on Aug. 3, 2005 and at Cheakamus, B.C. two days later.

Under the terms of the settlements, CN will pay a total of $1.8 million (Canadian) to resolve the charges. Most of that – some $1.65 million - will be directed to various environmental and emergency response programs in B.C. and Alberta. These programs, designated by the provincial and federal governments with CN's input, will support the prevention and remediation of future environmental incidents, both rail and non-rail related.

In addition, CN will continue to work with provincial and federal authorities to further enhance its emergency response plans and to partner with those authorities in environmental sensitivity mapping of bodies of water along its rail lines in B.C. and Alberta.

“These settlements are focused on the future and on what's best for the environment,” said CN president and chief executive officer Hunter Harrison. “CN will continue to strengthen Emergency Response procedures, while maintaining its commitment to do everything in its power to prevent accidents from occurring.”

In total, CN and its insurers spent in excess of $132 million to remediate the effects of the Wabamun derailment and spill, and to compensate affected stakeholders.

Today, ongoing testing and monitoring show no traces of oil remain in the water column. Minimal solid tarball presence on the lake floor poses no risk to humans, fish, wildlife or habitat. Nevertheless, testing and monitoring programs remain in place as part of CN's ongoing commitment to the people of Wabamun and Alberta.

Regarding the Aug. 5, 2005 incident near Squamish B.C., all parties have agreed that CN reported the spill to the Provincial Emergency Program immediately following the derailment and spill of sodium hydroxide into the Cheakamus River, and responded promptly and appropriately to the release of the product. Within 24 hours, the river had returned to natural conditions, and the river was re-opened to the public within 48 hours. There were no effects on downstream potable water wells.

CN's remediation efforts focused on rebuilding the affected fish populations as soon as possible. In support of this goal, CN has spent approximately $5.3 million in funding Cheakamus Ecosystem Restoration Technical Committee (CERTC).

The railway has also established the Cheakamus Ecosystem Recovery Fund to compliment other recovery efforts.  The $2 million fund encourages enhancement projects by local environmental stewardship groups. To date, there have been a dozen approved projects.

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