A call to invest in a flood barrier

Petrochemical executives say protection vital

Gulf Coast petrochemical executives are calling for massive investments in flood protection as they outfit their own plants to better withstand severe storms in the wake of Hurricane Harvey.

Executives with Lyondell Basell, Dow Chemical Co., Exxon Mobil Corp. and others agreed on the need for a proposed $14 billion barrier project known as the “coastal spine” to protect the region from storm surges and flooding, and called for federal funding to make it happen.

Lyondell Basell CEO Bob Patel said he recently met with Harris County Judge Ed Emmett to discuss the barrier project, a system of levees and gates in the Galveston Bay. The Army Corps of Engineers is studying the feasibility of such a concept, first proposed after Hurricane Ike unleashed a massive storm surge in 2008.

“The coastal spine benefits more than just our industry,” Patel said. “It really needs to be a regional effort.”

Harvey’s deluge forced the shutdown of many refineries and petrochemical plants and tested the industry’s safety systems and emergency response plans. Executives agreed that their companies will need to invest in renovations and technology to better protect their assets.

Dow Chemical CEO James Fitterling said he expects technology to play a larger role in the industry’s response. His company used a drone to assess the situation at its Seadrift facility, which closed during the storm.

Lyondell Basell’s facilities were largely spared from major damage, but Patel said his company will consider relocating pipes and pumps. He added that the company may make design tweaks as it builds its $2.4 billion plant in Channelview.

“This is also about forming the foundation of future investment,” he said.