Tag: arctic drilling

This past Monday, the Obama administration issued the final permits allowing Shell Gulf of Mexico, Inc. to begin drilling oil wells in the Arctic. This is the same oil conglomerate that lost control of its drilling rig in December of 2012 that crashed onto the Alaskan coast in heavy seas. The disaster also lead to eight felony convictions and a $12.2 million fine

Considering President Barack Obama’s promises to focus on climate change and big speeches on controlling carbon emissions, this has to be one of his most hypocritical decisions. Compounding that hypocrisy, the president has planned a visit to the Arctic region later this month. He is the first sitting president to do so. This decision didn’t sit well with Democratic presidential candidate Hillary Clinton who expressed her opposition in tweets and at her press conference in Nevada:

I think the very grave difficulties that Shell encountered the last time they tried to do that should be a red flag for anybody. I have been to the Arctic, I have been to Barrow, our most northernmost outpost in the United States and I think we should not risk the potential catastrophes that could come about from accidents in looking for more oil in a pristine – one of the few remaining pristine regions of the world.

In a segment on her MSNBC show, Rachel Maddow blasted the president calling this decision “the most awkward and ill-timed thing he’s done in a long time”

While we should praise Secretary Clinton for this stand and her environmental platform that put an emphasis on renewable energy, she now needs to take a stand on the KeystoneXL pipeline.

I was recently asked by a friend to contribute to a sort of compact reference on fracking (you can see the product here). As I was working on the section on the economics of fracking, it struck me that what is wrong with the economics of fracking is what is wrong with our whole energy economy; the incentives are set up to create a perverse outcome.

Because the environmental costs of fracking (and pretty much all extractive energy industries) are externalized, or perhaps “socialized” would be an easier term here, and the profits are privatized, the appearance of a very profitable industry is based upon false economic information.  The creation of these incentives to extract fossil energy with little regard to the environmental consequences (and sometimes even common sense) has vested enormous economic power in the hands of people who use that money to purchase political power.  They then perpetuate those same incentives over the objections of those who for years, Cassandra-like, point out that their continued activity is rendering our environment inhospitable to human life.  As an article in the Independent from 2006 “Disappearing world: Global warming claims tropical island,” chronicles:

Rising seas, caused by global warming, have for the first time washed an inhabited island off the face of the Earth. The obliteration of Lohachara island, in India’s part of the Sundarbans where the Ganges and the Brahmaputra rivers empty into the Bay of Bengal, marks the moment when one of the most apocalyptic predictions of environmentalists and climate scientists has started coming true.

As the seas continue to swell, they will swallow whole island nations, from the Maldives to the Marshall Islands, inundate vast areas of countries from Bangladesh to Egypt, and submerge parts of scores of coastal cities.