B - Food & Water Watch
B - Food & Water Watch
B - Food & Water Watch
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
Selected History of BP Consumer, Environmental<br />
and Workplace Safety Violations<br />
April 2010<br />
March 2010<br />
September 2009<br />
April 2009<br />
March 2009<br />
February 2009<br />
August 2007<br />
July 2007<br />
June 2007<br />
Deepwater Horizon platform collapses, Gulf Coast disaster.<br />
Ohio BP Refinery Fined Again for Workplace Safety Violations:<br />
BP’s Ohio refinery was cited for proposed fines of more than $3<br />
million for allegations of 42 willful violations and 20 serious<br />
violations of U.S. workplace safety standards. 1<br />
BP Receives $87 Million in Penalties for Unaddressed Worker<br />
Safety Violations at Texas City Refinery: The U.S. Occupational<br />
Safety and Health Administration levied $87.4 million in penalties<br />
for allegedly failing to implement workplace safety improvements<br />
under a settlement after the 2005 Texas City refinery explosion. Four<br />
more workers died at the refinery after the explosion. In 2009, OSHA<br />
found 270 uncorrected workplace safety violations and 439 new<br />
workplace safety violations. 2<br />
BP-Chartered Helicopter Crash Kills 16 in North Sea: A BPchartered<br />
helicopter departing a BP North Sea oil rig crashed killing<br />
both pilots and 14 passengers in the worst United Kingdom<br />
helicopter accident in more than two decades. 3<br />
BP Workplace Safety Guilty Plea Finalized by U.S. Courts: U.S.<br />
Federal Court approved BP’s guilty plea and $50 million criminal<br />
fine for a criminal workplace safety charge related to the Texas City<br />
Refinery disaster. BP America Chairman and President Bob Malone<br />
noted that, “If our approach to process safety and risk management<br />
had been more disciplined and comprehensive, this tragedy could<br />
have been prevented.” 4<br />
BP Agreed to Pay Nearly $180 million in Fines to Correct 8-Year<br />
Old Texas City Refinery Air Pollution Violations: BP agreed to<br />
pay almost $180 million for failing to bring the refinery into<br />
compliance with air pollution rules under a 2001 consent decree to<br />
correct U.S. Clean Air Act violations. 5<br />
BP Settles Another Fine for Underpaying for Oil Leases and<br />
Royalties: BP paid a $35 million to settle a class action lawsuit<br />
(without admitting wrongdoing) for underpaying landowners for the<br />
right to drill oil on their land. 6<br />
BP Pays $18 million to Settle Enron-Era Electricity Sales Scam:<br />
BP paid an $18 million settlement with California utilities and<br />
officials for overcharging consumers for electricity during<br />
California’s 2000 and 2001 energy crisis. 7<br />
BP Fined for Leaking Michigan Gas Station Tanks: Michigan<br />
fined BP $869,000 for failing to clean up leaking gas station tanks<br />
years after the leaks were brought to BP’s attention. 8
2007 BP Dedicated $2 Billion to Pay for Fines, Lawsuits Resulting<br />
from Deadly 2005 Texas City Refinery Explosion: BP set aside<br />
$2.125 billion to pay for civil cases brought by the families of the<br />
victims and survivors of the Texas City refinery disaster. 9<br />
December 2006<br />
September 2006<br />
BP Evacuates North Sea Platform After Collision: BP evacuated a<br />
North Sea platform after a supply boat collided with the platform’s<br />
support legs, possibly compromising the structural integrity of the<br />
platform. 10<br />
U.S. Congressional Hearing Reveals Climate of Fear Prevents BP<br />
Employees from Bringing Problems to Corporate Leadership: A<br />
report commissioned from the Vinson & Elkins law firm found that<br />
the atmosphere at BP “chills” reporting concerns about BP<br />
operations. 11 One worker was threatened with firing for allegedly<br />
filing a complaint that corrosion inspection staff was cut by 25<br />
percent. 12<br />
September 2006 BP Pays $900,000 Air Pollution Fine: BP paid a $900,000<br />
settlement with the U.S. Environmental Protection Agency for<br />
emitting volatile organic compounds from its gasoline stations. 13<br />
April 2006<br />
March 2006<br />
July 2005<br />
March 2005<br />
BP Fined $2.4 Million in Worker Safety Fines for Ohio Refinery:<br />
U.S. inspectors fined BP $2.4 million for workplace safety violations<br />
in a Ohio refinery similar to problems that contributed to the Texas<br />
City refinery explosion. 14<br />
BP Leak Biggest Spill on Alaska’s North Slope: A corroded<br />
pipeline leaked 267,000 gallons of crude oil at BP’s Prudhoe Bay<br />
facility, a leak Alaska regulators rated “the largest spill of crude on<br />
the North Slope.” 15 In August, BP shut down Prudhoe Bay after a<br />
second pipeline corrosion caused a second, smaller leak. 16 BP<br />
ultimately paid $20 million in fines and restitution and admitted “BP<br />
Exploration Alaska failed to take necessary actions to prevent the<br />
March 2006 pipeline spill.” 17 In 2009, BP agreed to pay $1.7 million<br />
in fines to the state of Alaska for oil spill containment violations on<br />
Alaska’s North Slope. 18 By 2010, U.S. authorities still sought<br />
millions of dollars to remedy alleged water and air pollution<br />
violations and for failing to meet promised deadlines to prevent<br />
future spills. 19<br />
Hurricane Significantly Damages BP’s Thunder Horse Deep Sea<br />
Platform in Gulf of Mexico: Hurricane Dennis struck and<br />
destabilized the giant Thunder Horse in 2005. 20 BP found that<br />
incorrectly installed ballast piping caused a 30-degree list that dipped<br />
the platform into the Gulf. 21 In 2006, BP found additional problems<br />
with key subsea equipment in the underwater manifolds and<br />
compression systems. 22<br />
Texas City Refinery Explosion and Fire Kills 15 Workers,<br />
Injures More than 170: An explosion and fire at the BP Texas City<br />
refinery killed 15 workers and injured more than 170. 23 The<br />
explosion occurred after monitoring alarm systems failed to alert the<br />
plant that the octane-boosting unit overfilled with highly combustible
chemicals and vapors. 24 The U.S. Chemical Safety Board (CSB)<br />
attributed the explosion to BP’s disinterest in safety procedures; the<br />
CSB president stated “we were absolutely terrified that such a culture<br />
could exist at BP.” 25 The Texas City blast was the worst industrial<br />
accident in the United States in fifteen years. 26 The Texas City and<br />
other U.S.-based BP workplace fatalities accounted for more than<br />
one-fourth of U.S. refinery workplace fatalities between 1995 and<br />
2005 and were ten times higher than fatalities at Exxon facilities. 27<br />
November 2004<br />
July 2004<br />
BP Fined £200,000 for North Sea Gas Leak: BP was fined<br />
£200,000 for a 2002 gas leak on a North Sea platform that was the<br />
result of pipeline corrosion the UK prosecutor called “an accident<br />
waiting to happen.” 28<br />
BP Fined £25,000 for North Sea Diesel Spill: BP was fined<br />
£25,000 for leaking 6.5 tonnes of diesel fuel from a supply ship<br />
refueling a drilling platform. 29<br />
2003- 2004 BP Admits it Manipulated Propane Prices, Pays $300 Million in<br />
Fines, Charges: BP paid $303.5 million in fines, penalties and<br />
restitution to settle the charges that BP generated a $20 million profit<br />
from manipulating propane market and artificially driving up<br />
propane prices for consumers. 30<br />
July 2002<br />
December 2001<br />
October 2001<br />
March 2001<br />
January 2001<br />
June 2000<br />
June 2000<br />
BP Settles U.S. Suit Over Leaking Fuel Storage Tanks: BP paid a<br />
$46 million settlement to after its Arco subsidiary ignored a<br />
requirement to improve leaking underground fuel storage tanks at 59<br />
gas stations for a decade. 31<br />
BP Spill in Luton, England Takes 9 Years to Resolve: A 2001 BP<br />
gas station spill leaked 40,000 liters of gasoline. Although BP was<br />
fined £60,000 and cleaned up half the spill, the full cleanup was not<br />
fully completed until 2010. 32<br />
BP Fined for North Sea Workers’ Exposure to Gas Leaks: BP<br />
was fined more than £200,000 for North Sea gas platform workers’<br />
exposure to gas leaks for four years on an Amoco gas platform. 33 (BP<br />
subsequently merged with Amoco.)<br />
Explosions at Georgia State BP Plastics Plant Kill 3 Workers:<br />
Explosions killed 3 workers shutting down plastics production<br />
operation when leaking liquefied polymers caught fire. 34<br />
BP Spends $600 million to Resolve Clean Air Act Violations: BP<br />
Amoco agreed to spend approximately $600 million to resolve Clean<br />
Air Act violations at eight refineries and pay an additional $10<br />
million in civil penalties. 35<br />
BP Spills Heating Oil into the River Tweed: BP Fuels was fined<br />
£15,000 and spent £200,000 to clean-up after polluting a tributary of<br />
the River Tweed with home heating oil. 36<br />
Two BP Grangemouth, Scotland Refinery Safety Breaches within<br />
Days: BP was fined $1.43 million when a ruptured steam line<br />
threatened the safety of local residents and a flammable gas leak
three days later caused employees to “run for their lives” when about<br />
9 tonnes of flammable vapor exploded. 37 (BP has since sold<br />
Grangemouth.)<br />
April 2000<br />
February 2000<br />
May 1999<br />
March 1999<br />
October 1998<br />
April 1994<br />
July 1991<br />
October 1990<br />
March 1988<br />
February 1985<br />
BP Underpaid Royalties on Federal and Indian Lands: BP<br />
Amoco agreed to pay $32 million to settle claims that it underpaid<br />
royalties to the U.S. government on oil leases on federal and Indian<br />
land. 38<br />
BP Pays Total $22 Million over Hazardous Materials Dumping:<br />
BP Exploration (Alaska) Inc. agreed to pay $15.5 million in fines and<br />
$6.5 million in civil penalties for failing to immediately report<br />
hazardous materials dumped at a North Slope oil field. 39<br />
BP Given Maximum Fine for North Sea Explosion: BP<br />
Exploration received the maximum £20,000 fine for an explosion and<br />
fire on a North Sea gas platform after BP admitted breaching health<br />
and safety regulations. 40<br />
BP Pays $1.75 million for Ohio Air Pollution: BP Oil Company<br />
paid $1.75 million under a consent decree for its alleged illegal air<br />
pollutant discharges and reporting violations at its Ohio refinery. 41<br />
BP Given Record Fine for Manipulating Trades on the UK Oil<br />
Commodity Market: BP was fined a record £125,000 by the<br />
London-based International Petroleum Exchange (IPE) for<br />
manipulating the price of 500 diesel and home heating oil commodity<br />
contracts and failing to cooperate with the exchange’s investigation. 42<br />
BP Fined over Fire at Grangemouth Plant: BP Chemicals was<br />
fined £200,000 for a fire at its Grangemouth plant that killed one<br />
worker and seriously burned three others. BP also was ordered to pay<br />
each injured worker £10,000. 43<br />
BP Assessed Record Workplace Safety Fine for Fatal Refinery<br />
Explosion: BP was fined a record $135,000 for violations leading to<br />
fatal explosion at a Washington state refinery that killed one worker<br />
and injured six others. 44 Additionally, BP Oil Co. settled a lawsuit<br />
brought by the family of the worker who was killed for $4.3<br />
million. 45<br />
BP Fined $2.3 Million for 6 years of <strong>Water</strong> Pollution: BP Oil<br />
Corp was fined $2.3 million for discharging pollutants for 6 years<br />
into the Delaware River from its Pennsylvania refinery. In addition,<br />
BP Oil spent more than $25 million to build a new treatment<br />
system. 46<br />
BP Given Then-record Fine after Grangemouth Explosions: BP<br />
was fined a record £750,000 after three workers were killed in two<br />
separate explosions at the Grangemouth refinery. The first explosion<br />
occurred after workers reported a chemical leak but returned to work<br />
after a BP employee claimed it was safe. 47<br />
BP Fined for North Sea Fire on Site of Prior Blowout: BP was<br />
fined £15,000 for safety violations after gas was released from an oil
well-bore hole ignited a North Sea fire. Previous drilling had<br />
encountered a blow-out close to the site, and seismic tests had shown<br />
the potential of shallow gas-bearing sands in the area of the<br />
platform. 48<br />
Notes:<br />
!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!<br />
1 U.S. Occupational!Health and Safety Administration. Press Release. “U.S. Labor Department’s OSHA Proposes More than $3<br />
Million in Fines to BP-Husky Refinery Near Toledo, Ohio.” March 8, 2010.<br />
2<br />
U.S. Department of Labor. "Fact Sheet on BP 2009 Monitoring Inspection." Occupational Safety & Health Administration.<br />
October 29, 2009.<br />
3 Milmo, Cahal. "BP suspends link with helicopter firm after crash." (London) The Independent. April 2, 2009.<br />
4 BP America, Inc Press Release. “BP America announces resolution of Texas City, Alaska, propane trading, law enforcement<br />
investigations.” October 25, 2007; British Petroleum. U.S. Securities and Exchange Commission filing 20-F, 2009.<br />
5 US Environmental Protection Agency. “BP Products to pay nearly $180 million to settle Clean Air violations at Texas City<br />
Refinery.” February 19, 2009.<br />
6 Laura Dichter et. al v. BP America Production Company. Case No. D-0101-CV-200001620, State of New Mexico, First<br />
Judicial District. Notice of Settlement. August 15, 2007.<br />
7 “U.S. FERC approves $18 mln BP-California settlement.” Reuters. July 6, 2007.<br />
8 Lam, Tina. “BP is fined for leaking underground tanks.” Detroit Free Press. June 2, 2007.<br />
9 British Petroleum. U.S. Securities and Exchange Commission filing 20-F. 2007 and 2008.<br />
10 “Alert on oil platform after collision.” (Aberdeen) Press and Journal. December 14, 2006.<br />
11 Davidson, Paul. “Congressmen slam BP executives at Alaskan oil leak hearing.” USA Today. September 7, 2006.<br />
12 Mauer, Richard. “BP was warned of intimidation.” Anchorage Daily News. October 3, 2007.<br />
13 US Environmental Protection Agency. “BP, Shell Pay $1.5 Million in Penalties for Auto Gas Violations Threatening Public<br />
Health.” October 5, 2006.<br />
14 U.S. Occupational Health and Safety Administration. Press Release. “OSHA Fines BP $2.4 Million for Safety and Health<br />
Violations.” April 25, 2006.<br />
15 “Alaska hit by ‘massive’ oil spill.” BBC. March 11, 2006.<br />
16 BP. Press Release. “BP to shutdown Prudhoe Bay Oil Field.” August 7, 2006.<br />
17 BP Statement on Settlements. “BP America Announces Resolution of Texas City, Alaska, Propane Trading Law Enforcement<br />
Investigations.” October 25, 2007.<br />
18 Alaska Department of Law and Alaska Department of Environmental Conservation. Press Release. “State Reaches Settlement<br />
with BP Exploration (Alaska) Inc.” September 22, 2009.<br />
19 Loy, Wesley. “Federal regulators, BP work on settlement for ’06 spills.” Anchorage Daily News. May 23, 2010.<br />
20 Andrew, Kelly. “Delays at Thunder Horse add to BP’s woes.” The Oil Daily. September 19, 2006.<br />
21 Greising, David. “Troubles run deep on Gulf oil platform.” Chicago Tribune. May 28, 2007.<br />
22 “New Thunder Horse Woes.” International Petroleum Finance. June 1, 2006.<br />
23 U.S. Occupational Health and Safety Administration. Press Release. “OSHA Fines BP $2.4 Million for Safety and Health<br />
Violations.” April 25, 2006.<br />
24 Porretto, John and Dan Caterinicchia. “Probe of BP plant blast cites oversight.” Associated Press.<br />
25 “Poor BP safety standards at root of refinery blast.” Birmingham (UK) Post. March 20, 2007.<br />
26 Porretto, John and Dan Caterinicchia. “Probe of BP plant blast cites oversight.” Associated Press.<br />
27 Olsen, Lise. “BP refinery deaths top industry in U.S.” Houston Chronicle. May 16, 2005.<br />
28 Barry, Maggie. “Gas Leak: BP Fined.” Daily Mirror. November 17, 2004.<br />
29 Innes, John. “Diesel spill in sea costs BP £25,000.” Scotsman. December 6, 2005.<br />
30 U.S. Commodity Futures Trading Commission. Press Release. “U.S. Commodity Futures Trading Commission Charges BP<br />
Products of North America, Inc. with Cornering the Propane Market and Manipulating the Price of Propane.” June 28, 2006; BP<br />
Statement on Settlements. “BP America Announces Resolution of Texas City, Alaska, Propane Trading Law Enforcement<br />
Investigations.” October 25, 2007.<br />
31 Carrell, Severin. “BP pays $46m settlement after breaching US anti-pollution laws.” The Independent. July 7, 2002.<br />
32 “One fuel spill BP need worry about no longer.” Luton Today. May 14, 2010.<br />
33 The Scotsman. “BP fined more than GBP 200,000.” October 13, 2001.<br />
34 Edwards, Johnny. “Three die in fatal explosion at Augusta, Ga. BP Amoco Polymers Plant.” Augusta Chronicle. March 14,<br />
2001.<br />
35 US Environmental Protection Agency press release. “EPA finalizes agreement with petroleum refinery.” January 19, 2001.<br />
36 The Scotsman. “BP fined 15,000 pounds over river pollution.” June 14, 2000.<br />
37 “Grangemouth incidents scar BP.” The Oil Daily. January 23, 2002.<br />
38 Sniffen, Michael J. “BP Amoco to Resolve Royalties Case.” Associated Press. April 11, 2000.<br />
39 Speiss, Ben. “BP settles for $15.5 million; company also faces probation in dumping of toxic waste.” Anchorage Daily News.<br />
February 2, 2000.<br />
40 The Herald (Glasgow). “Maximum fine for oil firm over gas explosion.” May 11, 1999.<br />
41 US Environmental Protection Agency press release. “BP Oil must monitor flaring of gases at Toledo refinery.” March 15,<br />
1999.<br />
42 The Herald (Glasgow). “Business: Oil giant is fined for false trade.” October 16, 1998.<br />
43 The Herald (Glasgow). “BP Chemicals fined £200,000 over death fire.” April 22, 1994.<br />
44 Lange, Larry. “Refiner cited for violations in fatal blast; British Petroleum fined record $135,000 for safety 'shortcuts.'” Seattle<br />
Post-Intelligencer. July 16, 1991.<br />
45 Lange, Larry. “BP Oil to pay $4.3 million in refinery death.” Seattle Post Intelligencer. January 12, 1993.<br />
46 Associated Press. "BP Oil assessed $2.3 million fine for polluting river. (Delaware River)." The Oil Daily. Energy Intelligence<br />
Group. October 24, 1990.<br />
47 The Herald (Glasgow). “BP is fined pounds 750,000 after fatal blast at refinery.” March 22, 1988.<br />
48 The Guardian (London). “BP Fined 15,000 pounds on safety charge after North Sea fire.” February 6, 1985.!!