Demand Harsh, Non-Tax Deductible Penalties for Oil Company Following Spill

A band of oil from the BP oil spill off the coast of Louisiana floats in the water near Freemason Island

Target: Bureau of Safety and Environmental Enforcement Director Brian Salerno

Goal: Levy severe, non-tax deductible penalties against Royal Dutch Shell for disastrous oil spill to ensure that they actually pay for the necessary clean-up and restoration efforts.

An oil processing facility in Louisiana spilled roughly 88,200 gallons of crude oil into the Gulf of Mexico. The spill spread for 13 miles toward the horizon and 2 miles across. This is most certainly an environmental disaster which should not be paid for by taxpayers. The Bureau of Safety and Environmental Enforcement must hold Shell Offshore Inc., a subsidiary of Royal Dutch Shell, accountable by levying harsh, non-tax deductible penalties.

Both Shell and federal authorities are still investigating the exact cause of the spill. Meanwhile, Shell has shut down a group of four wells located at their Gliders Field station.

Under the Oil Pollution Act of 1990, Shell will be required to pay for all the cleaning and restoration tasks resulting from this oil spill. However, as we have seen with British Petroleum and their move to deduct millions of dollars from costs related the Deepwater Horizon disaster in their tax reports, there is no guarantee that a massive corporation such as Shell will actually foot the bill for their own Gulf oil spill. It is imperative that the Bureau of Safety and Environmental Enforcement levy penalties against Shell that are specifically deemed non-tax deductible to ensure that the company actually pays for the necessary clean-up and restoration efforts.

Multi-billion dollar corporations frequently employ every form of financial manipulation that they can get away with in order to protect their bottom line. If we don’t pay close attention to the details, Shell may very well try to maneuver their tax strategy in order to offset any penalties brought against them following their oil spill in the Gulf of Mexico. By signing the petition below, you can help urge the Bureau of Safety and Environmental Enforcement to levy specifically non-tax deductible penalties against Shell.

PETITION LETTER:

Dear Director Salerno,

Shell’s 88,200 gallon oil spill in the Gulf of Mexico is a severe blow to a region which has already experienced many, truly horrific environmental disasters. The corporations behind such terrible events are supposed to be held accountable. This is not always the case, though. Conniving tax strategies such as those employed by British Petroleum following their Deepwater Horizon Spill have set a precedent that undermines the Oil Pollution Act of 1990.

It will not be enough to levy the standard penalties against Shell following its Gulf oil spill. This will only leave the door open for Shell to deduct the penalties from tax reports as standard business expenses, much like BP has done.

If we truly want to hold Shell accountable for this environmental disaster, then more rigorous steps must be taken. I urge you to levy penalties against Shell which are specifically deemed non-tax deductible.

Sincerely,

[Your Name Here]

Photo credit: Rick Wilking

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3 Comments

  1. Barbara Tomlinson says:

    LEAVE ALL FILTHY FOSSIL FUELS IN THE GROUND. FOREVER.
    To avert Climate CATASTROPHE due to Global Warming.
    Leave the OIL IN THE SOIL;
    Leave the COAL IN THE HOLE;
    Leave the TAR SANDS IN THE LAND.
    And NO FRACKING ANYWHERE, EVER!
    This shall be Environmentalists’ MANTRA:
    LEAVE IT IN THE GROUND.
    STOP THE *SUICIDE ECONOMY*
    of GLOBAL CORPORATE CAPITALISM.

  2. Lisa Zarafonetis Lisa Zarafonetis says:

    Signed & Shared. ?

  3. These companies need to be held accountable once and for all!

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