Stop Zenith Platform

Created by 350PDX Fossil Fuel Resistance Team in collaboration with other partner organizations, part of the 350PDX Climate Justice Platform 2024

Context

Zenith Energy operates a fuel storage facility and transloading terminal in NW Portland in the Critical Energy Infrastructure (CEI) Hub capable of storing 1.5 million barrels of fuel. In 2017, Zenith quietly started receiving tar sands and crude oil on dangerous mile-long trains that pose significant health and safety risks to everyone living nearby. This oil-by-rail operation isn’t even responding to Oregon’s energy needs; most, if not all, of the product Zenith handles is destined for overseas markets.

In the seven years since their arrival, Zenith has quadrupled the amount of oil trains traveling through the Portland Metro area while deceiving regulators (Friedman), violating permits, circumventing the democratic decision-making processes of our city government, and endangering the health and safety of every community member who lives near its trains and facilities. Community members across the city have opposed Zenith for years from the railroad tracks and in the streets to the courtroom and City Hall.

In 2021, City Council finally listened to advocates and denied a key permit for Zenith, the Land Use Compatibility Statement (LUCS). But a year later, the City quietly approved Zenith’s third request for a LUCS behind everyone’s backs and without any community or Tribal input, paving the way for Zenith to continue transporting crude oil before supposedly transitioning to “renewable” fuels. The City has turned its back on the thousands of community members who expressed concern over Zenith Energy and originally urged the City to deny this permit.

The City still has the ability to deny Zenith a critical Land Use Compatibility Statement (LUCS) that allows them to operate and apply for an air permit, on grounds that the permit was provided after illegal lobbying. The Oregon Department of Environmental Quality (DEQ) has the ability to deny Zenith this air quality discharge permit. This process is currently underway at the DEQ.Today, Zenith continues to transport crude oil and experimental and explosive forms of “renewable” diesel.

Actions

1. Transparency and Accountability.
   • In March of 2024, the Portland City Auditor found Zenith guilty of violating the City’s lobbying laws due to the company’s numerous unregistered and unreported lobbying hours with Portland City Officials. The consequence of these violations was a warning letter from the City with a recommendation for the company to review the City’s lobbying laws. No monetary fine was issued. A new City Council could and should expand on these consequences, to make it clear that this level of illegal lobbying is inexcusable. Zenith Energy should be fined for this behavior, and the City staff and officials involved in the illegal lobbying activities should also be investigated.
2. Challenge or revoke the LUCS and potential ACDP decision.
   • If DEQ approves Zenith’s air quality discharge permit application, the city can challenge this by denying the Land Use Compatibility Statement and telling the state that they legally don’t have the authority to grant this permit.
   • If DEQ has not approved Zenith’s air quality discharge permit application, the new City Council could revoke the LUCS and tell the state they cannot legally grant the permit.
3. Phaseout of Zenith’s fuel operations in Portland.
   • Pass a Anti-Greenwashing Policy, where for any energy and fuel decisions, the to lifecycle emissions of all fuel sources need to be considered when determining whether businesses are aligned with the city’s climate goals (during processes like the LUCS).
4. Reinforce the 2015 Oil Train resolution (ENN-10.01 – Oil Trains), adding more binding rules to the legislation to strengthen the City’s authority to limit the transport of crude oil within Portland City limits.

Important Stakeholders

46 neighborhood associations (Barker et al., 2021), Multnomah County (Kafoury et al., 2021), 20 state legislators (Reynolds, 2021), 17 environmental and community organizations, and thousands of Portland residents have come out against Zenith Energy’s operations in our community.

According to data gathered in 2016 by Multnomah County, over 250,000 Multnomah County residents live within the blast zone–the .5 mile radius along rail lines–of Zenith’s oil trains.Everyone residing in this area would be forced to evacuate in the event of a train derailment, spill, or explosion. A demographic study of the population living within the blast zone found that BIPOC community members represent a greater percentage of people in the evacuation zone (26.2%) versus the general population (23.5%). 108 schools and a 100 child care facilities are within the evacuation zone (“Briefing,” 2016).

Case Studies

More information about the “backroom deal” between Zenith Energy and the City of Portland:

• Portland City Government Compromised with Oil Industry in Private, Documents Suggest, Nick Cunningham, DeSmog Blog, August 2023
• Newly obtained records show Portland officials’ private interactions with Zenith Energy, Jeremiah Hayden, Street Roots, August 2023
• Portland auditor investigating Zenith Energy for lobbying violations, Jeremiah Hayden, Street Roots, September 2023

Citations

Richard Barker, for Linnton Neighborhood Association board and many other groups, “Letter to City of Portland Commissioners and Mayor and Oregon Gov. Kate Brown,” July 19, 2021, https://static1.squarespace.com/static/5e345da13c0fb26d48290567/t/6125941fc79542689910552e/1629852704342/Linnton+NA+Letter+to+the+City+of+Portland-7.19.21.pdf?eType=EmailBlastContent&eId=3fb63353-bee4-4f3d-a837-eaee53af4cc1.

“Briefing: Oil-by-Rail Cargo Movement in Multnomah County,” Multnomah County Office of Sustainability, January 2016, https://multco-web7-psh-files-usw2.s3-us-west-2.amazonaws.com/s3fs-public/Multnomah%20County%20Oregon%20-%20Oil-By-Rail%20FINAL%2001.19.16.pdf.

“ENN-10.01 – Oil Trains,” City of Portland, Policy Category: Fossil Fuels, https://www.portland.gov/policies/environment-natural/fossil-fuels/enn-1001-oil-trains.

Gordon R. Friedman, “Oregon exporter dodged crude oil spill preparedness drill,” The Oregonian, April 14, 2019,  https://www.oregonlive.com/portland/2019/04/oregon-exporter-dodged-crude-oil-spill-preparedness-drill.html.

Chair Deborah Kafoury and Commissioners Meieran, Jayapal, Vega Pederson, and Stegmann, “Multnomah County Board of Commissioners’ Statement Opposing Zenith Energy Permit Application,” August 24, 2021, https://www.multco.us/multnomah-county/news/multnomah-county-board-commissioners%E2%80%99-statement-opposing-zenith-energy-permit?eType=EmailBlastContent&eId=3fb63353-bee4-4f3d-a837-eaee53af4cc1.

Rep. Lisa Reynolds, “Letter to Commissioner Ryan and Director Esau,” Twitter post, August 23, 2021, https://twitter.com/RepLisaReynolds/status/1429859696433766404?s=20&eType=EmailBlastContent&eId=3fb63353-bee4-4f3d-a837-eaee53af4cc1.

Zenith Energy Terminals, Holdings LLC, Portland, “Off-Permit Change Notification, Form MD902,” Permit No. 26-2025, Oregon Department of Environmental Quality, received July 27, 2018, https://www.documentcloud.org/documents/23687436-zenith-_no-new-throughput_-doc