Deepwater Horizon: the petro-oligarchs strike back
In the wake of the Louisiana oil spill, Florida's Sen. Bill Nelson (D-Orlando) called for President Barack Obama to reverse his recent executive order to open up areas of the Gulf of Mexico to offshore oil and gas exploration. Nelson also introduced legislation to stop exploration in the Gulf pending an investigation into the Deepwater Horizon incident. The bill would stop the Interior Department from developing a new five-year plan for Gulf drilling and exploration in the Outer Continental Shelf. "Stop the five-year plan on drilling on the offshore continental United States until we get to the bottom of this," he told CNN April 30. (Florida Today, May 1)
The petro-oligarchy has of course wasted no time in striking back. Sen. Mary Landrieu (D-LA) insisted that the disaster should not deter off-shore drilling, saying on the Senate floor April 30: "I don’t believe we should retreat." She also tried to minimize the disaster: "What's important about this sheen is that 97% of it is a rainbow sheen. Only 3% contains emulsified crude... So it is important to understand that, while this is an unprecedented disaster—the oil slick is wide and covers a large section of ocean—97% of it is an extremely thin sheen of relatively light oil on the surface." She repeated her call that there be no "retreat" in media appearances including, on CBS' "Face the Nation" May 2.
Karl Grossman on Counterpunch May 3 had some advice for the "Face the Nation" producers:
Host Bob Schieffer might have asked Senator Landrieu whether her position had anything to do with the hundreds of thousands of dollars in political contributions she receives annually from the oil industry.
If a Face the Nation producer had done a Google search, reports would be found such as on SourceWatch: “Mary Landrieu has received $252,950 in oil contributions during the 110th Congress. $163,000 of those were from industry PACS. In total, Landrieu has accepted $574,000 from oil companies from 2000 to 2008, which makes her one of the highest recipients [in Congress] of oil money."
She did acknowledge in her Senate speech that she is "an unabashed proponent of the [oil] industry." She just didn’t explain the financial arrangement.
H. Sterling Burnett of the "free-market" National Center for Policy Analysis wrote an opinion piece on AolNews, May 3, "Don't Let Deepwater Deep-Six Offshore Drilling." He also paid lip service to the scale of the Gulf disaster—but for him the worst outcome is a potential backlash against drilling:
Another possible loss from the disaster would be if it derails the Obama administration's recently unveiled plan to open new areas to offshore oil and gas production.
Put simply: We need the oil and natural gas off of the US coasts, and offshore drilling is historically the least likely to cause oil spills.
Over the next 20 years, US oil consumption is expected to grow by one-third, even with the passage of climate change legislation and increased use of renewable fuels. Natural gas consumption will grow even more.
Unfortunately, the US remains dependent on foreign nations for a majority of our oil needs. Many of these countries are either politically unstable or have governments that are hostile to US interests.
The US has large deposits of oil offshore. The Minerals Management Service estimates that the US outer continental shelf (OCS) contains more than 46 billion barrels of oil, more than double the current U.S. reserve, and more than 419 trillion cubic feet of natural gas. As much as half of this bounty lies in OCS areas that until recently fell under both congressional and presidential development bans.
Ending the moratorium on new OCS production was among the most responsible actions Washington has taken in the past three decades. President Barack Obama was right to continue along the path started by the Bush administration.
That Burnett is comforted by Obama's policy should be deeply discomforting to the rest of us. The administration's response to the disaster has indeed been modest. The Department of the Interior's Outer Continental Shelf Safety Oversight Board, established by order of Secretary Ken Salazar April 30 in response to the disaster in the Gulf of Mexico, will "provide recommendations regarding interim measures" to enhance safety in OCS operations. The Oversight Board will also provide oversight of the Minerals Management Service (MMS) in its Joint Investigation with the US Coast Guard undertaken into the Deepwater Horizon incident. Secretary Salazar, who made the announcement on a tour of the stricken Louisiana coast, will provide a report to President Obama within 30 days on what, "if any," immediate additional precautions and technologies should be required. (Interior Department press release, April 30)
See our last posts on the oil spill, the offshore controversy and petro-oligarchical rule.
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Obama's offshore plan political?
Has it occurred to anyone else that he is dumping all the offshore development on the red states? From the New York Times, March 31:
See our last post on the struggle for Alaska.
Federal lawsuit seeks to stop drilling at BP Gulf platform
DC-based consumer advocacy organization Food and Water Watch (FWW) filed suit in a US district court Monday against the US Department of Interior and the Minerals Management Service (MMS) for an injunction to halt drilling at the BP Atlantis Facility in the Gulf of Mexico. FWW joined suit with Kenneth Abbott, a former safety contract engineer for BP, claiming that DOI and MMS allowed BP to operate the Atlantis Facility without documented, approved final engineering drawings considered critical to safe operation. FWW and Abbot hold that although federal law requires 100% engineer-approved "as built" drawings for most platform systems, less then 10% of BP's Atlantis Facility drawings had met these specifications. (Jurist, May 18)
Feds bent over for BP even after disaster
From Courthouse News Service, May 19:
Moratorium? What moratorium?
From the New York Times, May 23:
Judge who struck down drilling moratorium owned by Big Oil
Surprise! First, from CBS News, June 22:
Now this, from Yahoo News' The Newsroom blog, June 22:
And on the subject...
Just in case you missed this one. From Reuters, June 17:
Barton and the 30 days and NYT timeline
Joe Barton also introduced the Energy Policy Act of 2005 which required MMS to act on drilling appeals within 30 days which was impossible and meant that drilling permits were automatic.
There is a brutal timeline of the technological failures in the NYT
Federal judge refuses to reinstate original drilling moratorium
A judge for the US District Court for the Eastern District of Louisiana on July 21 refused to reinstate a six-month drilling moratorium issued in May by the Obama administration in response to the BP Deepwater Horizon oil spill. Judge Martin Feldman issued a preliminary injunction against the moratorium last month, holding that the drilling ban caused irreparable harm to the plaintiffs, small oil companies that were affected by the ban. The Obama administration has since issued a new drilling moratorium affecting only specific types of drilling equipment. Advocacy groups, including the Defenders of Wildlife, asked the judge to consider reinstating the original moratorium thta would have effectively halted all deepwater oil drilling. The newly-issued moratorium will not have such a broad effect. The advocacy groups argued that Feldman should be disqualified from the case because he owned stocks in several oil and drilling companies. Feldman denied the request saying it had no basis in the law. A lawsuit was filed July 21 in federal court challenging the administration's new drilling moratorium.
Earlier this month, the Obama administration asked a federal appeals court to reinstate the original six-month drilling moratorium, arguing that it should be upheld because the government would likely win its appeal of the lower court's ruling. The Justice Department originally asked the court of appeals to stay the preliminary injunction in June, on the basis that another deepwater spill could overwhelm the ongoing efforts to clean up the spill with catastrophic results. More than 120 million gallons of oil have leaked already from the rig's broken pipe and has now surpassed the Exxon Valdez oil spill as the worst in US history. (Jurist, July 22)
Texas AG challenges drilling moratorium
Texas Attorney General Greg Abbott (R) on Aug. 11 filed a legal challenge to the Obama administration's new offshore drilling moratorium, claiming it violates federal law. The complaint, filed in the US District Court for the Southern District of Texas, argues that the moratorium was created in violation of the Outer Continental Shelf Lands Act, which requires the US Department of the Interior to "cooperate with the relevant departments and agencies of the Federal Government and of the affected states." The act, which affects all decisions relating to the "exploration, development, and production of minerals in the Outer Continental Shelf," also says states are entitled to an opportunity to participate in the process. Abbott said that the federal government ignored his state throughout the process. (Jurist, Aug. 12)
Federal judge rules against drilling moratorium
A judge for the US District Court for the Eastern District of Louisiana on Sept. 1 denied the government's motion to dismiss a lawsuit filed by Hornbeck Offshore Services and several other drilling companies challenging the government's latest moratorium on offshore drilling. The moratorium directive was issued on July 12 by Secretary of the Interior Ken Salazar after the district court and US Court of Appeals for the Fifth Circuit granted an injunction against the government's initial directive issued on May 28. The drilling companies maintain that the latest moratorium is substantially the same as the previous one and that it would cause the same financial injury to the industry as the first moratorium. (Jurist, Sept. 2)
US introduces new offshore drilling regulations
US Interior Secretary Ken Salazar on Sept. 30 announced new guidelines intended to increase the safety of offshore drilling. The Drilling Safety Rule addresses specifications for and oversight of flow control mechanisms and well bore integrity, while the Workplace Safety Rule mandates the implementation of a Safety and Environmental Management System (SEMS) to identify and compensate for potential hazards. The former will become effective upon publication, after which a public comment period of 60 days will follow. The rule will then be either confirmed as final or republished in a revised form. Defenders of Wildlife described the measures as a "positive step" toward more comprehensive reform. In his speech introducing the regulations, Salazar also indicated that he is not yet prepared to rescind the previously issued six-month moratorium on specific drilling techniques. The American Petroleum Institute reserved its response to the new rules for the impending comment period, though reiterated its request that the government lift its ban, which primarily affects technologies used for deepshore drilling. (Jurist, Oct. 1)
Environmental group sues to reinstate drilling moratorium
The Center for Biological Diversity filed a lawsuit Oct. 22 against Interior Secretary Ken Salazar, seeking to have the deepwater drilling moratorium reinstated. The lawsuit, filed in the US District Court for the District of Columbia, argues that Salazar's order to lift the ban without conducting a comprehensive review of the effects of drilling on wildlife and the environment violated the National Environmental Policy Act (NEPA) and is arbitrary and capricious. Earlier this month, Salazar announced the end of a six-month moratorium on certain types of deepwater oil drilling, seven weeks ahead of schedule. The moratorium was put in place following the Deepwater Horizon oil spill in April, in which the Center states spilled more than "200 million gallons of oil into the Gulf of Mexico."
The lawsuit comes as the Department of Interior is considering granting the first drilling permit since lifting the moratorium. In lifting the drilling ban, Salazar said that the new drilling regulations and industry safety strategies developed in the wake of the spill have reduced the likelihood of future incidents such that the ban is no longer needed. (Jurist, Oct. 24)