
South Norfolk CEO Alan Shaw told CNBC he thinks it’s safe for his family to return to East Palestine, Ohio, nearly three weeks after toxic chemicals were released following a train derailment earlier this month.
Asked by CNBC’s Morgan Brennan if he would bring his children to the city, Shaw said: “Yes, yes, I’ve been back a few times. I drink water here. I’ve been in touch with my family here.”
The company will also continue to help the city’s residents, Shaw said.
On February 3, a Southern Norfolk freight train carrying hazardous chemicals derailed, causing a fire that burned for days. The environmental magnitude of the derailment could remain unknown for years and would require further testing. Officials say air levels are safe and the city’s water is free of dangerous levels of contamination, though residents have expressed skepticism about those guarantees.
“Our focus right now is environmental remediation, cleaning up this site, continuous air monitoring, water monitoring, financial assistance for the residents of this community, and investing in this community so that the community in East Palestine can thrive,” Shaw said. interview that aired Tuesday.
Earlier on Tuesday, the federal Environmental Protection Agency ordered the company to handle and pay for all cleanup efforts. It will require Norfolk Southern to clean up contaminated soil and water sources, reimburse EPA for cleanup services and participate in public hearings at EPA’s request.
A company spokesperson told CNBC Norfolk Southern has been in communication with the agency and has complied with its requests since the incident.
Ron Fodo, Ohio EPA Emergency Response, looks for signs of fish and also disturbs the water in the Leslie Run creek to check for chemicals in the bottom after a train derailment that caused environmental problems on February 20, 2023 in East Palestine, Ohio.
Michael Swensen Getty Images
Three days after the derailment, the company’s independent consultant and the Ohio EPA recommended a unified command to release control to burn off toxic chemicals, including known carcinogens.
“The fact that we knew at the time that the pressure relief valve in the car had failed, the temperature was rising, caused our independent experts to be very concerned about the potential of an uncontrolled explosion that would shoot gas and fragments into the population,” said Shaw.
Air monitoring did not pick up traces of toxic chemicals, officials said, although Shaw acknowledged “how it can scare people.”
Ohio opened a new health clinic Tuesday to address increasing reports of headaches, nausea and rashes in East Palestine. Worried residents also reported dead fish and chickens as authorities said it was safe to return. Starting this week, medical teams from the US Centers for Disease Control and Prevention and the US Department of Health are expected to arrive in the community.
A ‘traumatic experience’
Shaw said air monitoring was installed within hours of the derailment, and water monitoring was done hours after. He said all air and water tests have come back clean, but said the public can get additional air and water tests at home.
“If someone is experiencing unusual symptoms, I would strongly encourage them to see a trusted medical professional,” Shaw said, admitting it has been a “traumatic experience.”
Tests showed no signs of carcinogens including vinyl chloride in the environment, officials said. However, it is still possible that the full impact will not emerge for many years. Shaw said some researchers say this is not a problem and testing will continue.
Shaw said the company has so far removed about 450 cubic yards of contaminated soil and recovered about 1.1 million gallons of contaminated water. He said the company will continue to “do the right thing for this community” and see the recovery efforts as a whole. He did not set a time frame.

Shaw said it is safe for the family to return to the community as environmental remediation with the Ohio EPA is underway. He said Norfolk Southern has returned or made a $6.5 million “down payment” to East Palestine and will continue financial assistance to residents.
The company previously offered residents a $1,000 “pain” check, but Cleveland’s attorney warned residents that the check would prompt residents to cancel future claims against the company. Shaw in the interview rejected the lawyer’s claims after the company made a public statement that the test cleared Norfolk Southern of any liability.
“I know they’re hurt. I know they’re scared. I know they’re confused. They’re looking for information and who they can trust,” Shaw said.
Shaw said Norfolk Southern has fully cooperated with the NTSB and FRA to come up with the root cause of the derailment. He avoided talking about the safety footage that showed the steering wheel shooting fireworks about 20 miles before the derailment.
“We’re going to be here tomorrow. We’re going to be here a year from now. We’re going to be here five years from now. We’re going to do what’s right for this community and help this community come back. and help this community thrive,” Shaw said. .
Respond to criticism
Transportation Secretary Pete Buttigieg sent a letter Sunday to Norfolk Southern, warning that the company should “demonstrate unequivocal support for the people” of East Palestine.
Buttigieg wrote that Norfolk Southern and other rail companies have “spent millions of dollars in court and lobbying members of Congress to fight common sense safety regulations, ending some and reducing the scope of others.”
Some companies have adopted precision-scheduled railroading, which includes running trains longer, and cutting costs and headcounts to make the network more effective – and potentially profitable.
In response, Shaw said Norfolk Southern invests over $1 billion a year in “science-based solutions”, including track maintenance, equipment and technology.
Sen. Sherrod Brown, D-Ohio, said in a CNN interview that the railroads “just don’t invest the way they should in the safety of cars and their own tracks,” resulting in layoffs and stock buybacks.
“It’s pretty clear that the culture of safety and the investment in safety did not prevent this accident,” Shaw said. “We need to look at this and see what we can do differently and what we can do better.”