Oil Companies are coming under increasing fire in the aftermath of the BP Oil Spill which has exposed a lot of skeletons in the Fossil Fuel Closet.British Petroleum has already been exposed for the lies and deception with even the US regulators coming under criticism for lax regulation.The Oil Industry instead of owning responsibility has acted in a most shocking manner with Drilling Operator Transocean trying to escape responsibility behind a 150 year old law which caps liabilities at a measly $27 million.Even Oil Companies unrelated to the disaster,Exxon and Chevron are facing tough questions about the validity and morality of their Billions of Dollars in Windfall Profits.The super rich Oil Lobby seems quite helpless in the face of the public anger generated against the roughshod environmental treatment by Big Oil.
Contempt Towards Environment by Big Oil
These companies will find out that trying to fight back (like the Financial Industry) against public opinion might backfire for them.Oil companies like BP,Exxon have for a long time completely disregarded their responsibility towards the society.BP despite being a leading solar producer has recently closed its factories in the US while Shell has abandoned plans for investing in offshore wind.The lame excuse given each time is economic unviability even as other companies continue to make huge investments.Even shareholder fury in the past has failed to move the Oil Companies to invest more in Renewable Energy.
President Obama has said that the Oil Spill will change the shape of the Energy Industry just like the 9/11 Terrorist Strike.However the Oil Industry is much bigger and essential to society to be changed radically in a short time.However,if long term incentives and policies are changed , then this Environmental Disaster might have a Silver Lining after all.There are already calls by some Senators to redirect the huge fossil fuel subsidies in the US and Louisiana has already passed bills supporting Renewable Energy.
Exxon Mobil Corp., Chevron Corp. and ConocoPhillips, the largest U.S. oil companies, will ask lawmakers not to punish them for the human and environmental damage inflicted by BP Plc’s oil spill in the Gulf of Mexico.The U.S. government has intensified pressure on BP to stop the spill and pay for damages. Obama has asked to meet June 16 with BP’s chairman, Carl-Henric Svanberg, and other company officials. BP Chief Executive Officer Tony Hayward will appear before the House Energy and Commerce oversight committee the following day.
The executives may also be pressed to explain dividend payouts and share buyback programs that have dwarfed their investments in alternatives to petroleum, such as solar and wind, according to a June 12 memorandum written by Congressional staff and distributed to lawmakers who will participate in tomorrow’s hearing.