The oil spill: crisis and compensation

Since April 22^nd up to 5,000 barrels (795,000 litres) of crude oil a day has been pouring into the Gulf of Mexico from the stricken borehole a mile beneath the surface.  The large seafood and recreational fishing industry is under threat, wildlife in the coastal wetlands are endangered by the oil, and tourism in the area is likely to be hit hard. 

In a statement, BP said they take full responsibility for cleaning up the oil spill, and for paying compensation for any loss or damage caused, including loss of earnings.  This reflects the conventional approach to risk and responsibility, which assumes that all damage can ultimately be reduced to a financial cost. 

Yet there is a cost to relationships also, beyond the reach of compensation – starting with those grieving for the 11 people killed in the initial explosion on the oil rig.  Tensions in families will rise if fishermen’s revenues fall, or if small businesses go bankrupt and people have to move away in search of other work; families and communities may be forced to break up.  The relationship between BP and the rig operator Transocean will be under intense pressure, along with relations between BP and workers in the oil and fishing industries; levels of trust may fall between conservation groups and government who authorized such risky deep sea drilling… and so it continues.