Big Oil in the Last Frontier
By Bob Shavelson, Cook Inletkeeper

In 1957 ARCO geologist Bill Bishop famously stomped his foot onto the spongy tundra of the Kenai Moose Range near Anchorage and said, “Drill here!” The era of Big Oil in Alaska had begun. The discovery of the massive Prudhoe Bay fields in 1968 on the North Slope, and the associated construction of the 800-mile Trans-Alaska Pipeline, cemented Alaska’s identity as an oil state. Today, oil revenues account for approximately 90 percent of state revenues, and not surprisingly, large multinational oil corporations — including ExxonMobil, ConocoPhillips and Shell — dominate the state’s social and political landscape.

Nowhere is Big Oil’s influence more pronounced than in southcentral Alaska’s Cook Inlet, where offshore oil platforms dump billions of gallons of toxic waste with impunity into rich fisheries each year, and where laden oil tankers ply notoriously rough and icy waters without basic navigational safeguards. On the North Slope, lap-dog agencies turned a blind eye to industry corner-cutting that has produced large oil spills and alarming rates of pipeline corrosion.

For years, Big Oil’s abuses in Alaska largely escaped public attention. That all changed the night of March 24, 1989, when the Exxon Valdez slammed into Bligh Reef and spilled millions of gallons of crude into the rich and productive waters of Prince William Sound (which Exxon apologists claim as a 11 million gallon spill, but the state of Alaska estimates at three time larger). To dampen the public ire, Exxon doled out millions of dollars to fishermen and coastal residents to power spray the oil from rocky beaches. This tactic not only stripped coastal zones of all essential marine life, but also helped disperse concerned citizens throughout the spill zone, making them unavailable for organized public protests against Exxon’s criminal negligence.

But the clean-up effort produced another criminal outcome: the high power sprayers used by ill-equipped workers created airborne oil particles that generated toxic clouds that have sickened hundreds of cleanup workers. Exxon CEO Lee Raymond told oiled communities that Exxon would “make them whole,” yet 15 years after the spill, Exxon’s bevy of industry-friendly “scientists” proclaimed the sound fully recovered, despite peer-reviewed science showing lingering oil throughout the spill affected region.
Today, pervasive pockets of oil continue to bleed into the rich inter-tidal communities that support Alaska’s commercially valuable fisheries (among many other long term impacts, Prince William Sound’s prolific herring fisheries crashed shortly after the spill, and have yet to recovere.) Furthermore, fishermen and communities devastated by the spill had to sue for compensation, and after a federal jury found Exxon liable for $5 billion in damages, Exxon not only has refused to pay the settlement, but has managed to whittle the damage amount down to $2.5 billion after endless appeals. Hundreds of plaintiffs in the suit have died since the litigation commenced, while Exxon raked in $9.3 billion in profits in just the first quarter of 2007 alone.
Now, with oil and gas prices high, and the rubric of “national security” increasingly cast as a convenient veil for expanded oil drilling, the Bush administration has opened millions of acres of Alaska’s frontier lands and waters. In just the past four years, the Department of Interior has opened new drilling opportunities on millions of acres of sensitive lakes, streams and wetlands on the North Slope, and even more acreage in the ice-strewn waters of the Beaufort and Chukchi Seas. Perhaps the most egregious assault is focused on Bristol Bay, which boasts the world’s richest salmon runs, and which for the past 30 years had been under a presidential drilling moratorium. And of course, the Bush administration continues to press for drill rigs, pipelines and processing in the remarkably unique coastal plain of the Arctic National Wildlife Refuge.

But Big Oil recognizes few limits and accepts few responsibilities for its pollution and habitat destruction in Alaska. Yet while Big Oil needs Alaska, Alaska doesn’t need Big Oil. Commercial and sport fishing opportunities still produce more jobs than the oil industry, and the state possesses the greatest potential for clean energy production and sustainable jobs in the U.S., from massive tides and prolific geothermal sources, to world-class winds and small-scale hydroelectric resources. As oil industry profits continue to soar, and as funding for schools, roads and local communities continues to fade, Alaskans are finally starting to grasp that the private corporate interest does not readily translate into better pubic health and welfare. And in the state feeling the disproportionate impacts of climate change, the stage is finally set for the true reforms needed to advance the best interests of all Alaskans.

Oil, Inc.
Big Oil’s influence and impacts have been sweeping for the people and cultures of the Last Frontier, but no other group has been more affected than Alaska Natives. To settle Alaska Native land disputes needed to build the Trans-Alaska Pipeline, Congress devised perhaps the most ingenious — and diabolical — experiment in social engineering in U.S. history. Rather than employ the age-old practice of displacing Natives to reservation lands, Congress instead chose a more modern form of subjugation: the corporation. Under the Alaska Native Claims Settlement Act, Congress created 13 regional Native corporations, and hundreds of local corporations, and forced them to drill, mine, log or otherwise develop their lands to turn the profits required by the corporate model. While certain corporations have fared well fiscally and returned cash to Native shareholders, the overarching intent of the law is being realized: Alaska Natives are systematically destroying or selling off the resources that sustained their cultures for centuries.

Remains
Almost 20 years after the ultimate manmade disaster, oil lingers on the beaches of Prince William Sound. On low tide you can scoop oil up with your fingers. Native communities can no longer practice their traditional subsistence culture and our communities float precariously. Exxon will tell you that Prince William Sound has recovered and that people here have been fully compensated for their losses. Look any fisherman or Native in the eye long enough to earn his or her trust and you will find otherwise. Families have been ripped apart, divorces, suicides, unpaid bills — this is heavy stuff. Our herring fishery, the cultural and economic underpinning of our community, is simply gone. Fishing boats sit abandoned and rotting. Folks have left, people have died. Don’t get me wrong — this is a rich vibrant life that I would not trade for anything, but behind wonderfully stiff upper lips are raw hearts.
Jennifer Gibbins, Prince William Soundkeeper