Sunday, April 19, 2009

How Green Is the Color of Money?

Stick Your Damn Hand In It: 20th Birthday of the Exxon Valdez Lie

Greg Palast

March 23, 2009


Twenty years after the Exxon Valdez dumped 11 million gallons of crude oil into Prince William Sound in Alaska, marine life still struggles to recover from the largest oil spill in US history. The oil spill was a result of negligence on the part of Exxon. The Valdez was sailing with faulty radar equipment and lacking other equipment that could have prevented the crash and contained the spill, as required by law. Exxon was not merely negligent: Executives made a deliberate decision to do without the oil spill equipment in order to save money, after they had promised to use it. Exxon blamed the spill on human error caused by a drunken captain, who was actually not even navigating the vessel at the time.


Prince William Sound is in a remote enclosed area that made it especially difficult to contain and clean up the spill. The effects were devastating on the environment, wildlife, and commerce in an area that was already fragile from the ravages of pollution. Some species, including one group of orcas, or killer whales, now face extinction, while another group of orcas is taking longer than expected to recover. Some species that do eventually recover (this may take another 10 years for the orcas) will never be the same due to altered family systems and stunted growth patterns caused by the spill. Air pollution carried across the Pacific Ocean from China and Southeast Asia has exacerbated the situation by causing toxic substances to lodge in the fatty tissue of the whales, resulting in a diminished ability to reproduce. The human toll included bankrupt businesses and individuals, suicide, starvation, and increased alcoholism within the Native Alaskan community of fishing villages. The $5 billion in punitive damages that Exxon was required to pay to the 30,000 Natives and fisherman of Prince William Sound was reduced to half a billion dollars, one-tenth of the original award. The litigation continued for 20 years, promises made to the villages and fisherman were never kept, and about one-third of the fisherman have died waiting for their award to start trickling in from Exxon. Meanwhile, Lee Raymond, who was president of Exxon at the time of the spill, retired in 2006 and received a $400 million retirement bonus.


Exxon Mobil recorded a $45.2 billion profit in 2008, up almost 19% from 2007, setting a new US record and toppling Fortune 500 giant Wal-Mart from its six-year number one spot in the process. This against the backdrop of soaring gas prices of well over $4 per gallon, which left many Americans unable to afford travel for the basic necessities of life, such as commuting to work or buying groceries. Exxon is currently running a PR campaign for green energy alternatives. These television advertisements are heavy with gender and racially diverse scientists and technicians idealistically singing the praises of Exxon’s explorations into eco-friendly fuel innovations. One such ad makes the claim that liquefied natural gas is a clean fuel. The UK Advertising Standards Authority (ASA) adjudicated that the ad was misleading and could not be aired, after some astute viewers notified the authority. Liquefied natural gas causes significant carbon emissions. Some of Exxon’s innovations have merit but fossil fuels remain the basis of Exxon’s business.


Most people have forgotten the Exxon Valdez, but the community and wildlife that have suffered the consequences of Exxon’s negligence and lack of accountability will never be the same. Twenty years later, proudly touting a newer, greener image, Exxon Mobil, with it’s policy of deception, contempt for the environment, and greed, remains essentially the same.

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