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Proper legislation could have prevented Gulf spill

Published: Thursday, May 6, 2010

Updated: Friday, May 7, 2010 01:05

5-10-10

Illustration by Hannah Loftus

The recent BP/Transocean oil drilling platform explosion, and resulting gigantic oil spill, makes me sick. For weeks now, I've been avoiding the news out of fear that my environmental idealism would slowly sour to cynicism.

Knowing there was nothing I could do but retch, it didn't seem worth the time and emotional effort. But, lo and behold, I was dead wrong.

This is an environmental disaster of epic proportions. It's also not the first major oil spill, or the first failure of government regulation, or the first oversight of a profit-driven corporation. Learning about the causes and consequences of Deepwater Horizon's explosion and collapse is critical to helping us discover the appropriate balance between rising energy demands and the health of our environment and economy. Energy and climate legislation is inching its way up the Congressional docket, and the first tangible effects of global warming and ecosystem collapse are waking us from our ignorant slumber.

It's widely agreed that the explosion was related to a cementing operation that BP and Halliburton operators had performed days previous. The purpose of the operation was to fill the space between the hole and pipe in order to stabilize the well and prevent leakages.

In 2007, the U.S. Minerals Management Service released a report that this technique was the single largest factor in Gulf of Mexico well blowouts since 1993, and was at least partially responsible for 18 of the last 39 blowouts.

Halliburton, the cementing contractor for BP, used the technique on a Timor Sea rig that suffered a blowout last year. The former head of regulatory affairs for the U.S. Mineral Management Service, Elmer P. Danenberger, publicly stated the poor cement job was probably the blowout's primary cause.

The problem is a disconnect between bureaucracy and policymaking. Congress is the ultimate arbiter of deep sea drilling regulations. Congress decided that the oil companies were doing a fine job choosing how to avoid blowouts on their own. Congress was wrong.

They made such a devastating mistake, in eschewing further drilling regulations, because they listened to the advice of those with a profit motive. The financial impact of the spill to BP and Transocean is not insignificant until you compare it with their windfall profits.

The federal government has placed a $75 million cap on damages paid for these types of environmental disasters. Even if Florida, Alabama and Louisiana are able to wrestle more from the companies, and even if some of the 20-some citizen suits against the company for financial damages are successful, the payout is still nothing compared to BP's $14 billion replacement-cost profit in 2009. That same year, the company spent $15.9 billion on lobbying. Their overall profits are up 135 percent this quarter.

The Deepwater Horizon explosion is one of a series of preventable mistakes made by multinational oil corporations. As a result, the coral reefs, mangrove forest and sea grasses of the Gulf of Mexico ecosystem are in serious danger.

Thousands of coastal livelihoods depend on the health of this ecosystem. Proponents of deep sea drilling often tout the benefits of "energy independence" and criticize the harsh environmental practices of oil exporters.

In reality, companies like BP, Transocean and Halliburton have no allegiance except to their own profit margins. As U.S. citizens, we should demand our lawmakers listen to those who know best – the government bureaucrats and scientists who saw this kind of disaster coming. Given the impending oil crises, the alternative is havoc on ocean ecosystems.

- Beth Mendenhall is a senior in philosophy and political science. Please send comments to opinion@spub.ksu.edu.

 

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6 comments Log in to Comment

Anonymous
Tue Jul 13 2010 20:34
Really stupid, the government won't allow drilling near shore, or on land where oil exist, like Alaska. Instead, producers have to drill far out into the Gulf where it's a mile deep. This is so typical of statists. They pass/support laws that lead to disasters (housing crisis) and then blame a largely non-existent "free market" for the result of progressive/enviromental policies.
Anonymous
Fri Jun 11 2010 09:53
Let me see if I understand this: Duh Gubmint failed to do the "job" it Usurped, and so you want them to extort more money and power. . . wow, you're a smart one. . .

Mark has it right - the Real Regulation (i.e. penalties for being cheapskates) should come from We, the People - in the form of lawsuits and boycotts and plummeting stock prices. . . since we all know that whatever "regulating" Duh Gubmint does is exactly that which the supposedly regulated Industry has PAID them to do, or written for them, or both.

Fortunately, we need look no further than Underwriter's Laboratories for a rational, FUNCTIONAL method of oversight. . . applied to any other industry, it would work just as well

Anonymous
Mon Jun 7 2010 12:31
Did a 3rd grader do the illustration for this story?
Anonymous
Thu May 13 2010 10:09
Your articles suck.
Sean Tomlinson
Fri May 7 2010 14:04
Beth - as a former oilfield cementing engineer (for Schlumberger) I can help shed some light on it. The reason for the cementing job is, as you said, to stabilize the hole and pipe, but more importantly to block a high pressure zone. Deep sea drilling is enormously expensive and dangerous, and I'm sure the Halliburton and BP engineers would have gone over and over the design for the job. However, in this case, an accident happen. You can try to regulate accidents away, but it won't work. I agree with Mark that it would be better to penalize BP hugely for this. But even that won't prevent accidents in the future.
Mark
Fri May 7 2010 12:54
regulation isn't the answer. regulation doesnt prevent anything from happening (except productivity). the real incentive for doing the job correctly is PENALTY. and though some like to think of regulation as a penalty, so that you can feel like there is justice being done, in fact it does nothing to facilitate competence, and drives up production costs which are passed on to consumers. the real penalty should be lawsuits filed by private property owners affected. if BP saw this as a credible threat to erroneous and careless behavior, then perhaps they would be EXTRA cautious when they did these riskier activities. but you just watch, BP will negotiate a deal with Washington and the boys whereby they pay a certain fee - which Pres. Obama will tout as a sufficient penalty for the crime - and whether or not that relatively arbitrary number actually covers the cost of damage done, BP will be exempt from future litigation. so its business as usual, certain businesses collude with DC to stay economically viable by externalizing costs to society (taxpayers). property rights and objective law (equal treatment to paupers and billionaires and politicians) are the only remedy.

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