You might want to click on it to enlarge it, but this infogram demonstrates the largest corporate fines and settlements for the last seven years. I am most interested in the disparity among the oil companies. Exxon-Valdez paid $507 million in fines for its 1989 spill in Alaska (which has not been totally cleaned up yet). This is just 11% of its annual earnings. In contrast, the BP Gulf of Mexico spill cost that corporation 110% of its annual earnings, and rightly so. I would attribute this to heightened environmental sensitives regarding environmental damage in the U.S. However, unless I am not interpreting it correctly, the display also says that Shell paid 6% of annual earnings to settle a Niger Delta case in 2000. Perhaps we have different sources of data, but Shell’s earnings in 2006 were $25.36-25.44 billion and not just over 26 billion, but I suppose when analyzing such an absurd profit that doesn’t make much difference. My main point is that the well-known Wiwa settlement occurred in 2009, not 2000, and it was for $15.5 million, not $1.5 billion. This large discrepancy means the settlement was actually a mere .004% of annual earnings, not 6%. To put that in perspective, the Shell corporation earns about $2.5 million per hour, so they worked off the irreversible destruction of millions’ of farmers and fishermen’s land in just over 6 hours.
Published by deltalaine
I am currently a Research Fellow at the University of Rwanda's Center of Excellence in Biodiversity (CoEB). I focus on the gender dynamics of environmental conflict in Africa. My interdisciplinary Ph.D. in Law and Society at New York University examined gender in Nigeria's oil conflict. View all posts by deltalaine