BP Faces $Billions in Fines as Deepwater Horizon Penalty Phase Begins
Posted January 20, 2015 08:45 am
PENSACOLA,
FL – The third and final phase in the civil trial over
the massive Deepwater Horizon oil spill in the Gulf of
Mexico begins Tuesday and will determine the penalties
which British Petroleum (BP) will ultimately receive for
violations of the Clean Water Act.
The company was already found "grossly negligent" and
largely responsible for the environmental disaster. Now,
the trial turns to how much the British oil giant will
be fined.
David Muth, director of the Gulf Restoration Program for the National Wildlife Federation, says the range is from about $3 billion to a maximum of just under $14 billion.
"Because the judge has ruled gross negligence, one would
expect something moving toward the higher end," he says.
"You spill it, you clean it up. You pay for the cleanup,
you pay for the response."
The amount will be based on evidence presented during
this phase on BP's response to the spill, along with the
judge's determination. More than three million barrels
of oil ended up in the Gulf.
Eighty-percent of the fines levied will be sent to
Florida and the other Gulf Coast states for recovery
efforts under the RESTORE Act. (Resources - Ecosystems -
Sustainability - Tourist - Opportunities -Revived -
Economies) Muth says among the most notable local
impacts are the economic effects of the spill on eight
panhandle counties.
"Those counties are highly tourist-oriented," he said.
"They are some of the most beautiful white sand beaches
in the world. They took a direct hit and tourism is
based upon their natural resources."
The BP Deepwater Horizon disaster happened on April 20,
2010, when 11 people lost their lives in the explosion
and fire aboard the offshore oil platform.
Also found to be liable, although to a much lesser
extent, were BP contractors Transocean, which owned the
mobile drilling rig, and Halliburton, which was
responsible for the rig's cementing operations.
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