(CMR) Fuel sector regulator, OfReg, has fined the operator Rubis a total of $225,000 for operational failures that led to a fuel tank leak at the Jackson Point Terminal in November 2019.
The discovery of the leak at the time led to immediate action by Rubis and OfReg to minimize the risk to the public. OfReg's subsequent investigation established the causes of the incident and included an assessment carried out by Water Authority Cayman, which found no significant impact on the surrounding environment despite the quantity of diesel released from the tank.
The investigation found sufficient grounds to file charges against Rubis earlier this year in March 2022. Following initial legal proceedings brought before the courts, Rubis has now agreed to settle the matter and accept an administrative fine, including investigative and related costs.
OfReg CEO, Mr. Peter Gough, said: “As the regulator for the fuel sector, OfReg has a legal duty to ensure all operators operate and maintain critical national infrastructure to the highest standard in order to deliver the required benefits to consumers and the jurisdiction.”
“This particular incident, thankfully, has not had a significant impact on our environment but as our investigation has determined, had the operator adhered to the codes, standards and their own operational procedures, the leak could have been prevented,” he explained.
He added, “The decision to prosecute and the amount in which Rubis has been fined reflects the seriousness of the offense and OfReg's commitment to holding licensed operators accountable for their actions. The matter is now closed, and we are clear in our mandate to ensure that this should not happen again and that there will be severe consequences for those that fail to meet the requirements and terms of their permits and licenses.”