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Doesn't sound like the state system is regulating the industry very well, I don't expect states to take hard action against an industry that generates millions. They still haven't cleaned up the problems from the 90's, great for some people but bad for the farmers and others.
Quote:
Over the past nine months, using previously
undisclosed and unanalyzed records, bolstered by scores of interviews in North
Dakota, The Times has pieced together a detailed accounting of the industry’s
environmental record and the state’s approach to managing the “carbon rush.”
The Times found that the Industrial Commission
wields its power to penalize the industry only as a last resort. It rarely
pursues formal complaints and typically settles those for about 10 percent of
the assessed penalties. Since 2006, the commission has collected an estimated
$1.1 million in fines. This is a pittance compared with the $33 million
(including some reimbursements for cleanups) collected by Texas’ equivalent
authority over roughly the same period, when Texas produced four times the
oil.
Blowouts represent the riskiest failure in the oil business. Yet, despite
these serious injuries and some 115,000 gallons spilled in those first 10
blowouts, the North Dakota Industrial Commission, which regulates the drilling
and production of oil and gas, did not penalize Continental until the 11th.
The commission — the governor, attorney general and agriculture commissioner
— imposed a $75,000 penalty. Earlier this year, though, the commission, as it
often does, suspended 90 percent of the fine, settling for $7,500 after
Continental blamed “an irresponsible supervisor” — just as it had blamed Mr.
Rohr and his crew, contract workers, for the blowout that left them
traumatized
It like nay sudden boom with the population increase to go withy it. Hard to control the problems that arise. The industrial revolution in all countries had just that as well largfe cities still many think have never got a handle on running such a huge complex system. Heck same can be said of federal government as its grabbed more and more power that was local and state before. Even dealing with the different cultures of regions makes it more difficult. Creates a lot of conflict.
It like nay sudden boom with the population increase to go withy it. Hard to control the problems that arise. The industrial revolution in all countries had just that as well largfe cities still many think have never got a handle on running such a huge complex system. Heck same can be said of federal government as its grabbed more and more power that was local and state before. Even dealing with the different cultures of regions makes it more difficult. Creates a lot of conflict.
It's easy to solve the problems that arise but it doesn't appear the political will is there in places like North Dakota. It's not really complex, if you don't have any enforcement then why would these companies care.
In most of these situations what OIL wants OIL gets. The industry spends huge amounts of money and the local do whatever they can to get a piece of it. Just look at housing, particularly rentals, in an Oil Boom area and you will see what I mean. The drilling companies also pay about double the pre existing wages to the local laborers just to get warm bodies for this tough and dangerous work. In addition the industry policy is to keep the profits and dump any damage costs on the taxpayers in the damaged area.
By doing these relatively low cost, to them anyway, the oil industry effectively buy the local and state government to add to the Federal government it also controls. Everything is for potential profits as the profit in the industry is made at the well head and not in the rest of the business. This industry may be rapacious but it is not stupid.
Location: Democratic Peoples Republic of Redneckistan
11,078 posts, read 15,087,778 times
Reputation: 3937
Quote:
Originally Posted by GregW
In most of these situations what OIL wants OIL gets. The industry spends huge amounts of money and the local do whatever they can to get a piece of it. Just look at housing, particularly rentals, in an Oil Boom area and you will see what I mean. The drilling companies also pay about double the pre existing wages to the local laborers just to get warm bodies for this tough and dangerous work. In addition the industry policy is to keep the profits and dump any damage costs on the taxpayers in the damaged area.
By doing these relatively low cost, to them anyway, the oil industry effectively buy the local and state government to add to the Federal government it also controls. Everything is for potential profits as the profit in the industry is made at the well head and not in the rest of the business. This industry may be rapacious but it is not stupid.
Exactly..I lived through two oil booms in sw Wy and when the oil price dropped,there were suddenly tumbleweeds blowing down the middle of the street and the mess left behind was just that..a mess left behind.
A state with a population smaller than most metropolitan areas does not have the ability nor inclination to look beyond short term gain and properly regulate the industry that is temporarily dumping money by the truckload? You don't say.
We need oil, oil fields generate jobs and revenue, but I hold my nose when I boot past the fugly stinky Midland/Odessa 'landscape' and wouldn't want to live there.
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