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Tar Sands Oil Arkansas #2 (an update, almost all new)

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Yes and no.  It's the "no" part that matters here. 

With the Pegasus pipeline pumping Wabasca Heavy tar sands oil, ExxonMobil is not required to pay anything into the oil spill cleanup fund.  Not a penny.  Why?  Because tar sands oil, according to the law written by Congress and interpreted by our tax collectors, is not oil.  So its pumpers are exempt from contributing to the cleanup fund.

If it was more traditional lighter crude oil in the pipeline, someone would be paying 8 cents per barrel into the oil-spill liability trust fund.

Isn't tar sands oil like Wabasca Heavy more difficult and more expensive to clean up than lighter traditional oils?    


Doesn't that make a difference?   

Apparently not to the Internal Revenue Service (IRS), which administers the cleanup fund.  In a 2011 decision, the IRS exempted tar sands oil, diluted bitumen, dilbit fron the 8 cents tax per barrel (42 gallons). 

Why doesn't Congress do something about that? 



Congressman Ed Markey, D-Mass, has tried.    

After a week, has the tar sands oil been contained? 

Probably not. 

Arkansas Online reported on March 29, the day of the spill, without indicating the source of the information, that "Oil that spilled into waterways from a ruptured pipeline in Mayflower has been contained." 

The report continued:

"Faulkner County Judge Allen Dodson said blockades have been set up at two different locations along a waterway that flows into Lake Conway. Those blockades are preventing the contaminated water from passing". 

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Vermonter living in Woodstock: elected to five terms (served 20 years) as side judge (sitting in Superior, Family, and Small Claims Courts); public radio producer, "The Panther Program" -- nationally distributed, three albums (at CD Baby), some (more...)

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head should roll over this egregious accident! Whe... by Archie on Saturday, Apr 13, 2013 at 2:06:07 AM