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Gulf Oil Spill

The Gulf of Mexico along the Louisiana coast has experienced countless oil spills but unlike those BP’s oil spewed directly from the bottom of the ocean. It is difficult to accurately determine the complete extent of the damage caused by the oil spill because data on the condition of the environment in that area before the disaster is lacking. Even now the effect on organisms such as those in deep-water marine communities is hard to determine. But one thing is certain; the oil spill impacted every level of the complex environment that is the Gulf of Mexico.

There are some marine organisms, such as bacteria, tubeworms, and mussels, that have been able to adapt to living where the oil and gas seeps through but other animals such a endangered sperm whales that dive to the area to feed are put at risk due to the oil. Closer to the surface more animals come into contact with the oil. Plankton and fish larvae swim on the same level as seaweed beds. Theses seaweed beds, or sargassum, provide a habitat to snails, shrimp, and crabs. Sea turtles, tuna and dolphins feed on theses animals.

Sea birds such as pelicans, and sea gulls, swoop into the ocean to feed on small fish and shellfish. Inland, Hundreds of bird species feed on shellfish and frogs that live in mangroves and marshes. There are many ways animals can be exposed to oil. Animals can ingest oil while eating contaminated prey or droplets of oil that they mistake for food. Filter feeders, such as krill or jellyfish, ingest droplets of oil that are suspended in the water. Animals that live on land can inhale fumes from the oil or oily water. The oil can affect each animal in different ways.

While some shellfish have developed a tolerance to certain levels of oil many others, such as those that live in intertidal areas, can be vulnerable. Even if they can survive particularly high levels of oil, they may still become contaminated and pass this on to whatever predator eats them. When birds get oil on their feathers it disrupts their ability to regulate body temperature. Because of this many die from hypothermia. When some birds feed by diving into the water to catch fish the oil that coats their feathers can impede their ability to fly.

This can cause many of them to drown. Many fish are somewhat less likely to be affected by oil spills since the oil floats on the surface of the water away from the routes that they use, but when they do come into contact with oil it wreaks havoc on their bodies. Fish can inhale oil through their gills causing cardiac and respiration issues. Enlarged livers and reduced growth in adult fish have also been noticed. (NOAA) On coastal environments, oil can coat plants preventing photosynthesis. The effect on coastal environments such as beaches, marshes, and mud flats was catastrophic.

According to the national commission tasked with analyzing the oil spill 650 miles of coastal habitat were affected. About 130 miles of this area was described as being moderately to heavily oiled. Clean up of these areas can be difficult as the oil can seep deep down into sand and silt and remain there for years. The spill negatively affected the commercial fishing industry by causing the closing of fishing waters, a drop in demand for seafood, and a significant loss of life for some species that are harvested.

The oil and additional use of oil dispersants raised questions about the potential contamination of animals living in areas affected by the oil spill. We know that fish contaminated by oil can pass on the toxins to things that eat them. Consumers also knew this, which is what accounted for the drop in demand. The decision to close parts of the Gulf was a logical one, made for both safety and business reasons. Selling seafood contaminated with oil in not only a huge health concern, but harming customers would destroy the reputation of fishermen and harm them financially for a years.

It may have caused a loss in revenue, but it was a necessary sacrifice. At one point 88,552 square miles or about 36% of the Gulf of Mexico was closed to fishing. (Grahm) Fishers suffered huge monetary losses due, in 2010 the Gulf of Mexico’s commercial fishing industry lost anywhere from $94. 7 million to $1. 6 billion in revenue and thousands of jobs. (nola. com) The regions of the Gulf that were closed made up some of the richest areas for fishing. During the year of the oil spill landings for shrimp for the entire gulf region were about 35. 6 million pounds, or 27%, lower than the previous year. (fas. org)

After each area was determined to be oil free each species was individually analyzed and taken off of a no-sell list if deemed fit for consumption. The reason each species had to be analyzed separately is because there is a link between the mobility of an animal and the level of oil it will accumulate. Finned fish, being the most mobile had the lowest amount of accumulation. Crustaceans such as crabs and shrimp being less mobile had higher accumulation, followed by mollusks with the highest level. Louisiana saw a 42% drop in blue crab landings. Even after the species were deemed fit for consumption the demand took time to rebuild.

A poll by MRops, a marketing research company commissioned by the Louisiana Seafood Promotion Board, found that 70% were at least partially concerned about whether or not it was safe to eat seafood. 23% of these people stated that they had reduced the amount of seafood in their diet. Even attempts to control the level of damage backfired. In an attempt to keep the oil at bay, the state of Louisiana increased the amount of water released into local estuaries. While it did keep some oil out it also diluted the salt in the area so much that it killed a large portion of the oysters that lived there.

Some estimates state the Louisiana lost 50% of its yearly oyster crop. (fas. org) Since BP was mainly responsible for the disaster and all of the monetary losses to businesses and individuals the company took steps to repay the fishing industry as well as provide financial assistance in restoration of the environment. BP began compensating people and their businesses on May 3, 2010, stating that they would continue making payments as long as people were unable to make a living due to loss of natural resources caused by the spill.

BP agreed to set aside $20 billion for economic claims but some people, mostly those working in the fishing industry, criticized the company. They felt that the claims process would take too long and some compensation to individuals were too small. 4 months after the beginning of the claims process the Gulf Coat Claims Facility to over to address issues with the claims process. Under the new administration, individuals had three years to estimate their damages and submit a claim.

After this they were entitled to either a claim for all damages and losses, or a quick payment for $5,000 (individuals) or $25,000 (businesses). (fas. org) As another way to help clean up and add extra compensation to fishermen BP established the Vessels of opportunity program. With this program people could assist with rescuing affected wildlife, transporting supplies, and cleaning up oil still in the water. Crews operating about 3,500 boats were trained and employed for this effort. The GCDF decided not to take the earnings of the crews out of their settlement money.

Over about a year BP paid the crews a total of $594 million and later the program was concluded in 3 states (Florida, Alabama, and Mississippi) but continued in Louisiana. (fas. org) The fishing industry did not just need compensation for losses due to closed fishing grounds or killed resources, but drops in demand. As was mentioned earlier after, after the spill the number of people wary of eating contaminated seafood rose sharply. In order to help with the testing of seafood BP pledged to give a total of $48 million over three years to programs that would market and test the levels of contamination in seafood.

While BP did make strides to make up for the damage the oil spill caused, the American people contributed more to the effort than we believe. About five years after the oil spill a judge approved a $20 billion dollar settlement for the oil spill (to be paid over 16 years) but according to an article by Forbes the majority of that could have been taken from a $15. 3 tax return. This means that the American taxpayers covered about 77% of the settlement. It should be noted, however that that the money in compensations BP pledged to pay was not included in the settlement.

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