A federal task force has recommended that President Bush delay two controversial lease sales off California and one off Florida until concerns about environmental issues can be resolved.
Bush was given the report in January. He later asked Minerals Management Service for more information and has yet to announce his decisions regarding the sales.
The task force disbanded without making its report public, but Rep. Barbara Boxer (D-Calif.) released the 111 page document.
She said, "This report gives us the ammunition we need to change the basic premise of the Outer Continental Shelf drilling program to place the burden of proof for the need to drill on the oil companies."
The National Ocean Industries Association had expected the report to recommend some leasing delays.
However, NOIA said, "We are confident after the data gaps are filled a decision to move forward with leasing and drilling will be made.
"The report clearly demonstrates there is a very small risk of an oil spill from offshore drilling, and the greater threat of an oil spill is from tanker traffic. Most of this tanker traffic is associated with imported oil."
RECOMMENDATIONS
The task force said more environmental studies are needed in the three sale areas before leasing proceeds, and MMS should revise its process for writing environmental impact statements to improve the environmental assessment information available for leasing decisions.
The group found that many of the environmental effects of oil and gas activities are individually acceptable. But collectively they could result in unacceptable changes to the local environments in or near the three sale areas unless new measures are taken to control or mitigate effects.
The task force found no easy way to resolve the conflict between environmental concerns and the need for energy production. But it said more time and effort are needed before environmental concerns can be resolved in a manner that provides an acceptable balance between these goals. The study said air emissions from OCS oil and gas facilities off the California coast should be subject to more stringent controls substantially equal to controls on similar onshore facilities.
It said the risk of an oil spill from activities in the three lease sale areas is small compared with the risk of a significant spill from other sources, notably non-OCS tanker and barge traffic.
But it added, "Coastal and marine resources deserve greater protection from oil spills from all sources than is now available, and governments and the oil and shipping industries should act now to achieve significantly better protection against oil spills for coastal and marine resources."
FLORIDA SALE OPTIONS
The task force offered Bush three options for Sale 116, Part II, which would offer leases south of 26 N. Lat. off Florida's southwest coast.
All three call for a program to provide more protection for the Everglades and Florida Keys ecosystems from possible oil spills.
The first option is to cancel the sale and defer other leasing decisions until more oceanographic, ecological, and socioeconomic data are collected.
That would preclude leasing for the rest of the 1987-92 program.
MMS would proceed with exploration and development decisions for the 73 existing leases in the Part II area, conditioned on industry's demonstration that it can better protect Everglades and Florida Keys ecosystems from oil spills.
The second option is to cancel the sale and omit the area from leasing under the 1992-97 plan.
MMS would proceed with normal decisions on existing leases but help Florida try to buy them from lessees.
The third option is to omit the area from both 1992-97 and 1997-2002 leasing plans. Under that option, MMS would help Florida buy existing leases from oil companies and consider suspending those leases if it finds a threat of serious harm or damage to the environment from continued operations.
SOUTHERN CALIFORNIA
The task force said the government should set up air quality controls for the southern California OCS that are equal to onshore controls, toughen requirements for oil spill contingency plans, and improve ways to assess the risk of oil spill damage.
The first option for southern California Sale 95, which was to have been last September, is to proceed with sale preparations but defer final leasing decisions until more oceanographic and socioeconomic data are collected. Or, the task force said, the sale can be canceled until data are collected.
The second option is to defer leasing decisions until the 1992-97 program. MMS would offer only Santa Maria basin and San Diego outer basin tracts in the next southern California sale.
The third option is to cancel Sales 95 and 138 and not offer southern California leases under the 1992-97 plan. Sale 138 is scheduled for June 1992.
NORTHERN CALIFORNIA
For Sale 91, the task force recommended the same air quality and oil spill control provisions as it did for southern California, along with a program to revaluate the effects of leasing on fisheries and reduce conflicts with commercial fishing.
The first option is to proceed with sale preparations but defer final leasing decisions until more socioeconomic data are in. Or the sale could be canceled until the data are collected.
The second option is to defer decisions until the 1992-97 leasing program, then offer only Eel River basin tracts in the next northern California sale.
The third option is to cancel Sales 91 and 128 and not offer northern California tracts in the 1992-97 lease sale plan. Sale 128 is scheduled for February 1992.
Copyright 1990 Oil & Gas Journal. All Rights Reserved.
