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WASHINGTON — If Congress agrees to allow more drilling off America's coasts, energy companies will employ more environmentally friendly technology than in years past, but serious risks remain in “industrializing” the U.S. shoreline and a major spill could cause significant damage.
As oil prices soared to record levels this summer, President Bush rescinded the White House offshore drilling ban and now the pressure is on Congress to do the same. Presumptive Democrat presidential candidate Barack Obama, who wants to calm voter angst over high fuel prices as he heads into the final stretch of the November election, has said he's prepared to allow more offshore drilling, which could help break the logjam in Congress on the issue.
Congress banned drilling on most of the offshore Outer Continental Shelf in 1981 and the first President Bush expanded the ban with an executive order in 1990 after the 1989 Exxon Valdez oil spill in Alaska – the worst tanker accident in U.S. history.
These inaccessible offshore areas contain an estimated 18 billion barrels of oil and 76.5 trillion cubic feet of natural gas, according to the U.S. Minerals Management Service.
Much of the opposition to offshore drilling stems from the potential damage to marine ecosystems and coastal economies that rely on tourism. But experts say technology developed over the past two decades make offshore drilling safer.
“Technology has certainly lessened the risk of equipment failures and things of that nature,” said Bruce Bullock, director of the Maguire Energy Institute at Southern Methodist University.
With oil companies moving into waters as deep as 10,000 feet, their equipment has had to become sturdier and more structurally sound to handle much higher water pressures and higher temperatures.
Rigs are also easier to monitor, “so once you tell that there's a problem you can shut that well down immediately,” Bullock said.
The oil industry likes to point out that there were no major offshore oil spills during Hurricane Katrina, even though the 2005 storm destroyed or damaged dozens of production platforms. However, millions of gallons of petroleum were spilled at damaged oil facilities that were located onshore.
In addition to upgrading technology, oil companies say they are not oblivious to their impact on the environment. Ian Hudson, corporate environmental manager for Transocean Inc., said companies try not to drill in areas with sensitive ecosystems.
“I think people's perception is that you're going to park a rig over a coral reef and drill through it. That's obviously not going to happen,” Hudson said.
He said his company, the world's largest oil and gas drilling contractor, tries to make sure that its hydraulic or cleaning fluids are biodegradable, so if there is a spill the effects will be minimal.
Nevertheless, groups such as the National Audubon Society and the Sierra Club, said rigs pose a range of risks to the environment including oil spills, water pollution from the tons of wastes that wells produce, air pollution from well emissions, and damage to coastal wetlands from pipelines and other infrastructure associated with offshore drilling.
“American communities are being asked to take on risks to their health and their environment and get no relief at gas pump. It's not a good deal,” said Mike Daulton, director of conservation policy at the National Audubon Society.
If Congress does allow more drilling, companies will likely want to explore in areas close to existing oil infrastructure and where there are known reserves of hydrocarbons such as the eastern Gulf of Mexico and off the coasts of Florida and California. The Gulf Coast and East Coast are vulnerable to hurricanes, which can harm rigs and cause spills.
A bipartisan Senate bill, which could become the vehicle for moving several energy initiatives through Congress when lawmakers return in September from their summer vacations, would only allow drilling 50 miles beyond the shorelines of Georgia, Virginia, North Carolina and South Carolina.
Still, the risk of a major accident in offshore drilling due to human error or damage from a natural disaster is something many environmental groups can not tolerate.
“We don't think the tradeoffs ever justify allowing an industry like the offshore oil and gas industry to operate in those areas that are currently off limits,” said Athan Manuel, director of lands protection for the Sierra Club.
