Under Ground Oil Tanks: What every homeowner should know. 

From 1950 to 1980 everyone was burying unprotected bare metal tanks in order to purchase a larger amount of fuel at discounted price. At that time, the longevity of these tanks was unknown. Many variables can contribute to the early corrosion of these tanks including:  a high groundwater table, improper installation or condensation building up inside the tank.

According to the American Petroleum Institute 50% of bare steel tanks will develop leaks within 15 years. When an underground tank or piping leaks, the cleanup can cost $20,000 or more.  Many homeowner insurance policies contain a "pollution exclusion" clause. Leaving you with 100% of the cost.  In addition, if a leaky tank contaminates a neighbor’s well, the tank owner is liable for any damage done and clean up required.  In New York State, all spills and contamination must be reported to the DEC.

Signs of a problem can include:

• An unexplained increase in heating oil use;
• Signs of a damaged tank or piping;
• Soil that is stained or gives off strong oil odors;
• A sheen on the ground water;

If you suspect a leak, action should be taken immediately (within 24 hours) to minimize environmental damage and contain costs.  Call the local NYS DEC office, the Spill Hotline at 1-800-457-7362, and an experienced environmental consultant.

The absence of these signs is not a guarantee that there is no leak.  If your tank is over 15 years old you can have the tank and piping tested for tightness. For tanks 20 years old or greater it can be more cost effective to remove, replace or abandon the tank and save the testing costs. It is important to consider that no test can predict or prevent what will happen next year, or even the next week. Having an old tank (and piping) replaced with a modern double-walled underground or basement tank can save money and anguish.

When a tank is found to be leaking, additional work is required to determine the extent of the problem and the amount of cleanup required.  Contaminated soil must be entirely removed and disposed of properly.  If not it can contaminate yours or your neighbors well water.  It will be important to hire a qualified, experienced, and insured environmental consultant.  An experienced environmental consultant will:

• Visit your property before providing an estimate;
• Provide a written contract with specific cost estimates based on site conditions;
• Provide proof of insurance for the work to be performed;
• Provide references;
• Obtain all required permits;
• Provide you with documentation of all work performed and: location of tank, shipping records of disposal, analytical results of samples taken. And any additional work needed.

Keep all records in a safe place. They will be needed should you want to sell or refinance your home.

For additional information:

Property Owners Guide to Oil Tank Removal, Replacement, and abandonment; 9 pages, PDF:

http://c2g.us/