In January, Reps. Henry Waxman (D-California), the chairman of the House Energy Committee, and Bart Stupak (D-Michigan), the chairman of the Subcommittee on Oversight and Investigations, did just that when they sent a letter to Minge, BP's Alaska president, seeking information about how BP was managing its Prudhoe Bay operations, as well as seeking internal reports about the circumstances behind five serious incidents at Prudhoe Bay dating back to September 2008, one of which ended in tragedy.
In addition, the lawmakers sought information from the ombudsman's office regarding the "number and type of concerns received and the actions the company has taken in response." The ombudsman's office was set up in 2006 in the aftermath of the oil spills, and investigates concerns raised by employees about a wide range of issues, such as safety, maintenance, retaliation and harassment.
Minge wrote to Sporkin, the ombudsman, asking him to provide him with a report to turn over to Waxman's committee. Sporkin drafted a six-page letter, a copy of which was obtained by Truthout. He said that, since 2006, the office has registered 202 employee concerns, more than half of which generated from Alaska.
Sporkin also said his office "had the opportunity to address concerns at two off-shore platforms, including a case that came in on Christmas Eve 2006 regarding potential safety issues in an operation planned for over the holiday." It's unknown what was the substance of the incident involving offshore drilling platforms Sporkin was referring to.
The Office of the Ombudsman, according to Sporkin's letter, places employee concerns into three categories: Level 1 represents "system integrity or safety issues" and is the most serious; issues that could impact safety are classified as level 2, and human resources issues are identified as level 3. The ombudsman's office is currently conducting 57 investigations. In explaining how successful he felt the ombudsman program has been, Sporkin cited a level 1 safety incident that took place during the summer of 2008, "involving a high pressure gas line that runs across the field, including in close proximity to several North Slope housing camps and critical facilities."
"The Concerned Individual identified that the line, which was scheduled for 'smart' pigging [a device used for cleaning and identifying corrosion], was not going to be pigged in 2008 as a result of deferred work necessary to enable the pigging operation," Sporkin wrote. "As a result of the Ombudsman's intervention, and management support, [BP Alaska] undertook substantial compensatory actions through alternative testing to assure that those parts of the line that presented potential a safety risk to people or facilities were evaluated. Indeed, several areas of risk identified and repaired during the operation, and other areas were more closely monitored. The level of effort undertaken throughout the winter season was extraordinary, and the line was successfully pigged in 2009, with additional repairs ongoing. This is an example of the value from our intervention activities."
There was just one problem with Sporkin's explanation prepared for Congress: it wasn't entirely true. Employees said BP management did not immediately deal with the issue involving the natural gas injection line, nor was it originally brought to the attention of Sporkin in 2008 as he indicated in his letter. In fact, the issue surfaced three years earlier when Stuart Sneed, a contract employee with a stellar safety record, brought the matter to the attention of Paul Flaherty, an external investigator who, since 2002, has provided a confidential avenue for BP Alaska employees to raise concerns.
Flaherty also works with Sporkin.
In an interview, Flaherty confirmed employees' accounts that Sneed brought the corrosion issue to his attention in late 2005. Flaherty said he looked into the matter and found enough evidence to prove the allegations were true, and that a large number of "ultrasonic external corrosion inspections" indicated the integrity of the line was a major concern that needed immediate attention.
Flaherty said he raised the issue with BP's officials in Alaska, and was given assurances that they would take action to correct the corrosion. Flaherty said he monitored the progress roughly every six months, and became concerned that corrective measures on this line were not being implemented on a timely basis.
In late spring of 2008, Flaherty discovered BP Alaska had made little progress repairing the line. During this time, he started working with Sporkin and shared the issue with the Ombudsman Office, and together they characterized the issue as a level 1, "potential for imminent danger."
Flaherty said Sporkin's involvement, with support of Robert Malone, got the attention of BP's Alaska management. He says that without Sporkin's support and intervention, serious risks and potential harm to the slope and its workers were possible.
Interestingly, Malone unexpectedly retired from BP in early 2009, which, according to two BP Alaska officials, appeared to be the result of differences he had with Chief Executive Tony Hayward and Chief Operating Officer Doug Suttles. These differences included Malone's support of the Office of the Ombudsman, set up in 2006 as a clearinghouse for employee concerns, and between others within BP that wanted to close this office.
According to Pascal, BP's primary goal in negotiations with EPA in February on a settlement related to debarment was to get rid of Sporkin's office and replace it with a BP employee, so BP could control the outcome and information being divulged to the government. Pascal said she was "adamant" in opposing this. Sporkin's February 3 letter to Minge said that Lamar McKay, the president and chairman of BP America, has extended the ombudsman's contract until June 30, 2011.
Sneed, who employees were interviewed by Flaherty during the course of a separate investigation he conducted into safety issues Sneed raised, said he, "was likely to be the most careful technician on the Slope," and was "considered by his peers to be a very thorough and competent inspector." Sneed became the subject of retaliation by the company under contract to BP, Acuren, for reporting a number of issues on safety and retaliation both through internal BP-sanctioned safety programs, and to Flaherty.
He was eventually fired in 2007, and waged an unsuccessful and costly legal battle against Acuren. Sneed noted that he felt BP management supported Acuren's action of retaliation against him through "passive support of Acuren and no intervention on his behalf even though his efforts were exactly as BP indicates it wants people to behave."
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