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An Industry Drunken with Profits

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Ship Master Joseph Hazelwood had had too many drinks that night and had gone to bed, leaving the huge vessel in the very tired, inexperienced hands of Third Mate Gregory Cousins.

The Exxon Valdez, loaded with 53 million gallons of crude, had to avoid the icebergs that were blocking the usual rout out of Prince William Sound, in Alaska. After several maneuvers and thinking that danger was behind them, Cousins engaged the automatic pilot, and at 12:04 AM on March 24, 1989, this oil leviathan hit the Bligh Reef.

The ship started bleeding through a huge gap that would let go 11 million gallons of crude. The clumsy hesitation by Exxon -- the owner of the tanker -- in reacting to the spill and the remoteness of the area contributed to worsen what would become America's worst ecological catastrophe.

With a deadly cloak, the spill covered 1,300 miles of some of the most pristine, biologically rich coastline in the Western Hemisphere, triggering ruin for the local fishing industry and also the death of up to 500,000 sea birds, billions of fish eggs and hundreds of larger animals, such as orcas, seals, otters and bald eagles.

A federal investigation concluded that Exxon and its employees committed a long list of mistakes that led to the disaster, including failing to supervise a drunken shipmaster or acknowledging that the crew was overworked and exhausted. Exxon was also blamed for its dismal reaction to the disaster.

On this 20th anniversary, Exxon (now known as ExxonMobil) has long ago turned the page. For the Alaska residents, especially the fishermen, the nightmare continues.

According to the federal government, 26,600 gallons of crude oil are still lingering below the surface of area beaches. It's no wonder the fisheries at Prince William Sound never quite returned to their glorious past. The herring population that supports the fishery food chain in that region, for instance, has never recovered.

ExxonMobil, on the other hand, has since become the world's richest corporation. Last year, in the midst of a recession, the company reported a jaw-dropping $45 billion in profits. Each minute of each day of 2008, it made more than $75,000 in profits. Let's keep in mind American's average salary is a little over $40,000 per year.

Even so, ExxonMobil keeps refusing to compensate those 30,000 Prince William Sound fishermen to the tune of $5 billion as ordered by a court in view of the terrible devastation it caused to the region's economy. During this time, 6,000 fishermen have aged and died without seeing a single cent of what the company owes them.

Also, the company acts as if the Exxon Valdez disaster were an isolated case and that we should not worry any recurrence. The Minerals Management Service, however, reports that offshore oil operations around the country spill almost 300,000 gallons of crude into the ocean every year. Hurricanes Katrina and Rita alone spilled some 9 million gallons.

These should be overwhelming reasons to look for alternatives to 19th-century energy solutions. Nevertheless, ExxonMobil and the rest of the oil and gas industry insist on continuing their drunken ride without thinking about the inevitable hangover.

Last year, this industry increased its lobbying expenses in Washington, DC, by an astonishing 64 percent, from $82 million in 2007 to $128.6 million in 2008. Of course, the leader of the pack was ExxonMobil, with $29 million.

Industry observers consider this spectacular increase a symptom of panic in an industry that no longer has its best friend in the White House. Instead, they see a new president, Barack Obama, determined to look for and establish clean and renewable sources of energy.

It has also realized that President Obama is convinced that we must take urgent, effective action to fight global warming.

Twenty years after the Exxon Valdez disaster, this industry, drunken with profits, perhaps is also about to hit a reef called arrogance and perhaps has realized that its days are numbered.

Javier Sierra is a Sierra Club columnist. Visit www.sierraclub.org/ecocentro.

 
 
 
Ship Master Joseph Hazelwood had had too many drinks that night and had gone to bed, leaving the huge vessel in the very tired, inexperienced hands of Third Mate Gregory Cousins. The Exxon Valdez, lo...
Ship Master Joseph Hazelwood had had too many drinks that night and had gone to bed, leaving the huge vessel in the very tired, inexperienced hands of Third Mate Gregory Cousins. The Exxon Valdez, lo...
 
 
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11:42 PM on 03/27/2009
Curiously, Exxon keeps winning in the courts. The rule of law is often so inconvenient when a witch hunt outcome is desired.

Thank Goodness we have a great, industry leading and very profitable company in the United States - one that watches out for the interests of those who have entrusted their investment dollars with it, and for the interests of its customers who seem to want to buy gasoline, natural gas, diesel etc. pretty often and in significant quantities.

Exxon is a company that pays huge taxes TO the US government to suppor the rest of us, many of whom pay few if any income taxes. Seems that the President has a few ideas in his budget that require such tax money. So, again, good for Exxon.
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SFTor
11:12 PM on 03/28/2009
There is no question that Exxon is a company that contributes to the common good in the United States.

The Exxon Valdez oil spill was an example of the company acting irresponsibly, and later used the courts to evade their obligations. Substantial damage was done to the local environment and economy. It was never properly addressed.

That was not a high point for the company.
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mjt218
07:38 PM on 03/27/2009
Arrogance? You act as if you somehow have an Exxon employee on record as being proud of the Valdez disaster.

Hurricane Katrina and Rita alone spilled 9 million gallons of oil? Dude, together they were the biggest natural disasters in our nation's history. Of course there was damage to offshore infrastructure. Is there any evidence anywhere of negligence on the part of oil companies to cause this? On the contrary, oil field workers risked their lives producing oil as long as possible, and took every measure possible to secure their facilities before evacuating, in many cases to rush home and secure the safety of their own families.

The MMS has records of 300,000 barrels spilled offshore each year because the industry reports every drop, out to the thousandth of a gallon. My group reported a spill once because one of our electricians dropped the cap off a bottle of screw lubricant through the grating of a platform that probably had some lubricant on it.
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Nishnabe
teacher, armchair philosopher and mechanic
09:51 AM on 03/28/2009
mjt and desert dog, I am a fourth generation oilfield worker. Relatives still work in the industry here and overseas. There is a huge difference between the "oilfield workers who risk their lives" and Exxon employees. My family has suffered broken bones, lost fingers and toes, and death, and we never worked for a major oil company. We worked for independent exploratory companies hired by Exxon, Mobile, Shell, and others. The oil company execs would never risk their lives working in the freezing cold or blazing heat, nor would they risk their profits by investing in the safety their industry needs for men and beast working the fields and facilities required to get the oil to market. The things I have seen, my relatives have seen, would turn your stomach at the arrogance with which major oil companies treat their contractors. As for reporting every spill? NIce try. Maybe ten percent get reported and one anecdote of a bottle cap is quaint, but hardly indicative of the real world. Chemicals, driling fluids, fuel for machines, routinely dumped somewhere convenient when the DOGS (Dpt of OIl and Gas) weren't looking or were paid off. In the recent decline in oil prices, thousands of workers laid off. So much for the committment to explore for new sources.
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SFTor
12:48 PM on 03/27/2009
This is from memory, so I can't vouch for each detail, but it should be largely correct:

This article starts with the red herring that captain Hazelwood was drunk, and had left the ship in incapable hands. Not so. The captain was not on watch, and was asleep in bed. (If he was drunk, good for him.) The ship was under appropriate command and steered by the right crew member.

The reason the Exxon Valdez went aground was that the onboard Raytheon Racas radar system didn't work---it had been broken for a long time, and Exxon had neglected to fix it. There was a radar reflector on (or near) Bligh Reef, specifically to help tankers, presumably with a working radar system, steer clear of it.

But blaming human error deflected responsibility from the mother company, so why not?

Further, Exxon's oil containment equipment could be found safely on shore inside a frozen bay. It was impossible to get to and deploy.

This is my recollection from Greg Palast's book "All the democracy money can buy." It is a highly recommended read for people who really want to understand the events.

This was not about a drunk skipper. It was about a very big, and very negligent oil company.