Disaster News Network Print This

Gulf oil spill cost tops $389 million

Obama administration sends BP sixth bill for response and clean-up

BY BNO NEWS | WASHINGTON | September 8, 2010

The Obama Administration on Wednesday sent BP its sixth bill for $128.5 million for the response and recovery operations that are responding to the Deepwater Horizon oil spill in the Gulf of Mexico.

The bill went to BP as well as a number of other responsible parties, including Transocean, MOEX, and Andarko. According to the U.S. Government, the parties are financially liable for all costs associated with oil removal which include efforts to stop the leak, reduce the spread of oil, protect the shoreline, and mitigate damage to public health and welfare.

The U.S. Government, in order to promote transparency and to ensure that the U.S. public will not have to pay for the spill, is billing the responsible parties on a regular basis for costs approved by the Federal On-Scene Coordinator to support Federal, State, and local removal efforts. The first five bills sent have been paid in full by BP, equaling out to a grand total of $389.9 million.

The current invoice is based on specific Federal Government expenses that have been cleared for billing, including expenses that are related to response efforts of over two dozen Federal entities and agencies from four States. Federal response activities, however, are not subject to billing currently.

The U.S. Coast Guard is responsible for administering the Oil Spill Liability Trust Fund. They are to ensure rapid response to oil spills and to compensate individuals and communities harmed by the oil spill and to make sure that the costs of the response and cleanup are paid by the responsible parties.

(Copyright 2010 by BNO News B.V. All rights reserved.)

Related Topics:

CT awards Brownfields grants

DQ hit by Backoff malware breach

Yahoo! latest target of hackers

More links on Technological Disasters

Find this article at:



DNN Sponsors include: