Guess we should put it on the list anyway !
calgov2002:
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Posted on 04/17/2002 5:20:59 PM PDT by Tumbleweed_Connection
Two major oil companies and the manufacturer of MTBE, a major pollutant, were convicted of concealing their knowledge of the hazards associated with the gasoline additive.
The verdict by a San Francisco jury Tuesday went against the defendants even though in adding MTBE, or methyl tertiary butyl ether, to their gasoline, the oil companies had acted under orders from the federal government.
The Feds Made Them Do It
The federal Clean Air Act mandates that areas not meeting air quality standards must use MTBE or ethanol to reduce vehicle pollution, the defendants argued. In California, the refiners chose MTBE, which they can make from petroleum instead of buying ethanol from the Midwest.
The argument failed to save the defendants from the guilty verdict, the first of its kind. The jury found that gasoline with the additive MTBE is a defective product and held that two major oil companies knew of the chemical's dangers but still withheld that information from the public when they put it on the market.
The product liability suit was brought by the South Tahoe Public Utility District over contamination of the district's groundwater in 1998 after MTBE pollution forced it to close a third of its drinking-water wells.
The jury found that Shell Oil Co., Lyondell Chemical Co. (formerly Atlantic Richfield Chemical Co.) and Tosco Corp. (now part of Phillips Petroleum) had put a defective product on the market when they began selling gasoline with MTBE added.
They also found that Shell and Lyondell acted with malice when they withheld information about the chemical. According to Wednesday's San Francisco Chronicle, the South Lake Tahoe district's lawyers had presented evidence that the companies promoted MTBE even though they knew it could contaminate water supplies.
Scott Summy, an attorney in the Dallas firm of Baron and Budd, which has MTBE cases in California, New York, Florida and Illinois, told the Chronicle the verdict was "very significant."
'Early Knowledge'
"The jury was presented with ample evidence that these companies had early knowledge that predicted these problems," Summy said. "They failed to disclose the information they had and also promoted the additive in gasoline despite the fact that it had inherent problems." The additive has proved to be a major environmental headache nationwide, the Chronicle explained. Spilling from leaky underground storage tanks, it travels faster in the groundwater than gasoline and takes longer to break down. California has set a maximum limit for drinking water because MTBE is a suspected carcinogen.
Richard Drury, a lawyer with Communities for a Better Environment, told the newspaper that the punitive damages for MTBE contamination could reach billions of dollars nationwide from suits filed by cities, water districts, private well owners and perhaps consumers of tainted water.
The oil companies exhibited "the same type of knowing indifference to the public health" that tobacco companies did in promoting cigarettes. "In this case, it's also indifference to the environment," Drury said.
"It was proven that the companies' own scientists for almost a decade were saying, 'Don't put MTBE on the market, or you're going to create a big environmental disaster.' The companies put it out anyway. It wasn't an innocent mistake," Drury said.
Drury has a lawsuit before the same court charging that Exxon, Mobil and Tosco engaged in unfair business practices in marketing MTBE, the Chronicle wrote. A state justice Tuesday denied the companies' request to throw out the case and allowed a stalled trial to proceed.
ChevronTexaco, Unocal, Shell and Atlantic Richfield Co. settled last year. They agreed to clean up almost 1,300 sites around the state.
"It should reverberate in the executive suites and board rooms of oil companies and cause them to realize they have embarked on a legal strategy that will bring them nothing but grief," Joe Lawrence, Santa Monica's assistant city attorney, told the Los Angeles Times. The city has sued seven major oil companies and 11 other firms for allegedly tainting much of its drinking water with MTBE.
Cleanup costs could reach $200 million, according to the U.S. Environmental Protection Agency. The case is expected to go to trial next year.
Lawrence said several dozen similar cases have been filed across the nation.
Cleanup nationwide is expected to cost at least $29 billion, according to a study commissioned by Santa Monica and other cities. California is phasing out use of the chemical by Jan. 1, 2004.
Davis Delays Phaseout
Democrat Gov. Gray Davis, facing a tough re-election battle, recently delayed the statewide phaseout of MTBE in gasoline until January 2004.
The delay, Davis said, buys time for construction of transportation and fuel-blending facilities needed to replace MTBE with ethanol, produced mostly from corn grown in the Midwest. He feared disruption in ethanol supplies would cause long lines and price spikes at gas stations.
Big government steps in with a welcome hand and gently rapes the nation.
ME I sit down wind of their ethanol plant all day, smells like a brewery.
One must consider what Bush has taken away from them since elected, they have had no public control. I too wonder if the trade was high, but realize the return. The Rats have made utter fools of themselves ever since Bush walked in the door. I see the upcoming years being truly significant, and I do not expect the compromises we have been accustomed to.
Start reading your history books about "people's government", "government which fears the people"...
Don't believe the soon to come whining that the state made them use MTBE. California politicians are firmly in the pocket of Big Oil, IMHO, and mostly do whatever they say.
Politicians could not ignore the outcry over MTBE. There is too much evidence, too much public outcry, too many lawsuits filed. Note that this suit was filed four years ago.
And that's bad because....
Grew up within a block of the Yuengling Brewery. Sweetest smell on earth!
Yes. Individuals and cities should also be suing the state. Politicians and greenies knew the risks, they were very well informed of the nature of MTBE. Grey-out Davis was one of the people pushing MTBE, i do believe. The state chose to ignore the evidence, and attempted to hush the outcry. Davis is still covering for his buddies at Chevron.
The oil companies would have gone on and happily not put any extra/costly additives to gasoline. They would be happy just to pump out gasoline instead of having to make blends. Thats yet another step in the manufacture of fuel, and adds costs.
MTBE remains the required additive by the regulatory authority in many markets.
Moreover, ethanol production is insufficient to replace MTBE in all markets.
And, finally, neither MTBE nor ethanol contribute to the goal of cleaner air. Automobiles built since the early nineties do not need an oxygenated fuel to reduce hydrocarbon emissions to the required standard. All that MTBE and ethanol accomplish is to a.) increase the cost of gasoline by about 15 cents per gallon, where it is mandated and b.) reduce mpg by about 15-20%.
The Clean Air Act foisted this vile, unwanted (and unnecessary) stuff off on us. Nobody but Congress and the EPA is responsible for this horrid unintended consequence. The Act should be repealed forthwith.
Who is John Galt?
--Boris
Guess we should put it on the list anyway !
calgov2002:
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calgov2002: for old calgov2002 articles. calgov2002: for new calgov2002 articles. Other Bump Lists at: Free Republic Bump List Register |
The state GOP should be out in front on this one! But as usual they are missing the boat. I'm becoming convinced that the state GOP leadership are either absolute morons, or more concerned about their status and stature within the party than for the party and the state itself.
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