NYT: Deal on (oil industry) Pollutant Cleanup Pushed to Save Energy Bill

[DeepModem Mom]

Deal on Pollutant Cleanup Pushed to Save Energy Bill
By ALEXEI BARRIONUEVO and CARL HULSE
Published: July 22, 2005


The oil industry has agreed to contribute $2 billion to help clean up spills of a gasoline additive that is fouling groundwater in exchange for immunity protection against dozens of lawsuits, people close to the negotiations said.

But the industry's proposed contribution, which would go into a new fund set up to deal with claims of contamination by the fuel additive, methyl tertiary-butyl ether, or MTBE, falls far short of some estimates of what it would take to pay for the cleanups.

Republican leaders in the House are brokering the deal in an effort to push comprehensive energy legislation through the Senate and avoid a painful repeat of two years ago, when the gasoline additive issue ultimately helped sink the bill....

The issue is also important to oil and chemical companies, which have been pushing to shield themselves from lawsuits claiming that the chemical's manufacturers should be held responsible for cleanup costs. Municipalities have estimated the total cleanup will cost more than $20 billion. The American Petroleum Institute, an oil industry trade group, has estimated the cost at closer to $1.5 billion....

***

The prospect of a deal on MTBE between the industry and Republican House members was distressing to a coalition of Democratic lawmakers, conservation groups and representatives of local governments and utilities who said they had been shut out of the talks. Critics of the plan say an $8 billion cleanup fund built upon $2 billion from the industry might require yearly approval by Congress- and even unrelated political battles over spending bills could result in long delays - causing local water systems to ultimately bear the brunt of the expense....


http://www.nytimes.com/2005/07/22/business/22mtbe.html?adxnnl=1&adxnnlx=1122048100-hTUvtM1VuejRbvuJAJngBA

[acmejack]

1. Another bad deal for the citizens

"The issue is also important to oil and chemical companies", well guess what? It important to the people who have to drink that water. So we'll be forced to pay the $18Billion difference.

Leaving no stone unturned in their continuing quest to destroy the middle and working classes.

[krkaufman]

2. For a token contribution to a cleanup fund...

... they want immunity from prosecution for any possibility liability in future suits. *Such* a deal. With this gov't, though, I wouldn't put it past 'em.