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	<title>Ecopolity &#187; environment</title>
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		<title>Lessons from the spill</title>
		<link>http://www.ecopolity.com/2010/05/03/lessons-from-the-spill/</link>
		<comments>http://www.ecopolity.com/2010/05/03/lessons-from-the-spill/#comments</comments>
		<pubDate>Mon, 03 May 2010 17:56:06 +0000</pubDate>
		<dc:creator>sabranches</dc:creator>
				<category><![CDATA[Analysis]]></category>
		<category><![CDATA[BP]]></category>
		<category><![CDATA[energy]]></category>
		<category><![CDATA[environment]]></category>
		<category><![CDATA[oil]]></category>
		<category><![CDATA[spill]]></category>
		<category><![CDATA[sustainability]]></category>

		<guid isPermaLink="false">http://www.ecopolity.com/?p=708</guid>
		<description><![CDATA[Sergio Abranches The Gulf of Mexico oil spill tells us a story of disregard for the risk of deep sea oil extraction, and bad risk governance. It reflects an overall failure to account for risk of environmental damage and the associated economic losses of deep sea oil drilling and extraction projects. That the leakage continues [...]]]></description>
			<content:encoded><![CDATA[<p>Sergio Abranches</p>
<p>The Gulf of Mexico oil spill tells us a story of disregard for the risk of deep sea oil extraction, and bad risk governance. It reflects an overall failure to account for risk of environmental damage and the associated economic losses of deep sea oil drilling and extraction projects.<span id="more-708"></span></p>
<p>That the leakage continues uncontrolled 14 days after the rig explosion, on April 20, tells a lot about BP’s impact analysis of the operation, and quality control of the equipment leased. It also reveals the lack of technology to deal with that sort of leakage. Nobody knows how to stop such a leakage before it turns into a major disaster.</p>
<p>The environmental cost will be immense. Cleaning is not clean. It’s just a lesser evil. Dispersants are toxic and will have a negative impact on maritime and coastal environments.</p>
<p>Economic losses will be huge. The whole southern coastal economy will be affected. BP liabilities will probably be higher than those paid by Exxon in the case of the Exxon Valdez spill. The Exxon Valdez has been the <a href="http://climateprogress.org/2010/05/02/oil-spills-by-the-numbers/">most expensive</a> oil disaster to date in the US. It also showed that environmental damage, always <a href="http://www.politico.com/news/stories/0510/36649.html">overlooked</a> on risk assessments, unfolds for decades after.</p>
<p>The first lesson is that risk is higher than acknowledged. The second one is that technology provides neither adequate risk prevention, nor prompt damage control. The third lesson is that such disasters have long run consequences. They are not short-term events. The fourth lesson is that this kind of oil project has hidden costs.</p>
<p>“What is likely to become one of the most damaging spills in history unveils the hidden costs of our addiction to fossil fuels. The truth is, fossil fuels are injurious in so many ways — to our health, the environment and national security.” (John Podesta and Joseph Romm &#8211; “Limited Government can, and often does, lead to unlimited pollution and unlimited disasters”, <a href="http://climateprogress.org/2010/05/03/limited-government-unlimited-pollution-bp-oil-disaste/">Climate Progress</a>.)</p>
<p>This cost does not enter any business plan, project estimate, risk and financial assessments. The hidden cost of risk &#8211; both environmental and economic &#8211; distorts pricing, particularly comparative pricing confronting oil to alternative energy sources. It doesn’t show in the price equation neither at the rig, or at the pump. Oil is more expensive than it appears because it is riskier. It has become even more so as we moved from on-shore traditional drilling to off-shore deep water exploitation. The markets and insurance companies should carefully consider these lessons before jumping at the rather unwarranted benefits of future pre-salt drilling. Hidden costs and real risks will be multiplied by a significant factor when moving from deep-sea to sub-salt drilling.</p>
<p>“The only effective strategy is strong regulatory oversight to prevent disasters in the near term. And getting off oil in the longer term.” (Podesta and Romm)</p>
<p>In Washington, safety considerations have already made President Obama to condition his decision to allow off-shore drilling to safety considerations. But he</p>
<p>“offered little in the way of concrete promises. He said he still believes that ‘domestic oil production is an important part of our overall strategy for energy security,’ but said ‘it must be done responsibly for the safety of our workers and our environment’.” (Dave Levitan, <a href="http://solveclimate.com/blog/20100503/will-oil-reach-washington-spills-political-effects">Solve Climate</a>).</p>
<p>It is unlikely that a disaster of that magnitude would not have political aftereffects over the long run both in the US and abroad.</p>
<p>This accident makes a good case  for everybody to probe deeper into corporate sustainability claims. The credibility of sustainability reports and impact assessments has never been very high. The spread of this oil spill should remind everybody to not take corporate statements and reporting at face value. Sustainability actions should be not only reported, but designed in such a way that they could be reported, measured &#8211; through good and proven metrics &#8211; and verifiable.</p>
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		<title>Scenario for Brazilian Presidential election in 2010 can change swiftly if former Environment Minister Marina Silva decides to run</title>
		<link>http://www.ecopolity.com/2009/08/11/scenario-for-brazilian-presidential-election-in-2010-can-change-swiftly-if-former-environment-minister-marina-silva-decides-to-run/</link>
		<comments>http://www.ecopolity.com/2009/08/11/scenario-for-brazilian-presidential-election-in-2010-can-change-swiftly-if-former-environment-minister-marina-silva-decides-to-run/#comments</comments>
		<pubDate>Tue, 11 Aug 2009 23:51:58 +0000</pubDate>
		<dc:creator>sabranches</dc:creator>
				<category><![CDATA[Analysis]]></category>
		<category><![CDATA[Brazil]]></category>
		<category><![CDATA[election]]></category>
		<category><![CDATA[environment]]></category>
		<category><![CDATA[Green]]></category>
		<category><![CDATA[Lula]]></category>
		<category><![CDATA[Marina Silva]]></category>

		<guid isPermaLink="false">http://www.ecopolity.com/?p=154</guid>
		<description><![CDATA[Sergio Abranches Senator Marina Silva, former Environment Minister has already made up her mind and is likely to leave the Worker’s Party (PT) and run for President on a Green Party (PV) ticket in 2010, that&#8217;s what we can infer from what her closer associates are saying. The senator representing Acre, the westernmost state of the Amazon Region, resigned [...]]]></description>
			<content:encoded><![CDATA[<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;"><em>Sergio Abranches</em></span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">Senator Marina Silva, former Environment Minister has already made up her mind and is likely to leave the Worker’s Party (PT) and run for President on a Green Party (PV) ticket in 2010, that&#8217;s what <span style="font-family: Helvetica, 'Times New Roman', 'Bitstream Charter', Times, -webkit-fantasy;">we can infer from what her closer associates are saying.</span></span></p>
<div><span style="font-family: Helvetica, 'Times New Roman', 'Bitstream Charter', Times, fantasy; font-size: small;"><span style="line-height: normal;"><span id="more-154"></span></span></span></div>
<div><span style="font-family: Helvetica, 'Times New Roman', 'Bitstream Charter', Times, fantasy; font-size: small;"><span style="line-height: normal;"></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">The senator representing Acre, the westernmost state of the Amazon Region, resigned because of recurring conflict with the powerful Chief of Staff and Dilma Roussef’s, especially regarding road-building and hydroelectric plants in the Amazon Region. Minister Roussef was appointed by president Lula as the manager of his Growth Acceleration Program (PAC), a plan for public works with a strong focus on transportation and energy and severe environmental impact on the Amazon region. The president has several times showed his annoyance with his former Environment Minister’s requirements for licensing the larger Amazon projects. He called them “an environmentalist’s hindrance to progress.” Marina’s dissatisfaction peaked when Lula transferred to former minister of Strategic Affairs, Roberto Mangabeira Unger, a Harvard Law professor, responsibility over his “Project for a Sustainable Amazon”. Mangabeira Unger, had no previous knowledge of Amazon affairs, and advocated several policy initiatives that found antagonism among environmentalists, and praise among <a href="http://www.ecopolity.com/2009/08/03/the-new-power-of-rural-interests-the-us-and-brazil/"><span style="text-decoration: underline;">ranchers and soybean producers</span></a> in the region. After this decision, she resigned, and returned to her senatorial seat, where she has been highly critical of the government’s anti-environmental bias.</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">Meanwhile, minister Dilma Roussef became Lula’s ostensive candidate-to-be for the 2010 Presidential race. Lula and his political aides expected that minister Roussef would run a polarized contest against São Paulo’s governor, social-democrat José Serra. They see Serra as an enthusiast of the same approach to economic growth, and thought he would not be able to design a contrasting view and credible enough to confront the official candidate, defending very similar ideas.</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">The Green Party offer to Marina Silva and her apparent enthusiasm sounded as a sharp warning sign that something was going rather wrong with the government’s political plan. President Lula has immediately sent several emissaries to persuade her to remain on the party, and support Dilma Roussef’s candidacy. They seemed to have all failed.</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">One of them, former governor of the State of Acre, Jorge Vianna, a close friend to her, said this Sunday that he was still ‘quarantined’ and wasn’t making any comments on Marina Silva’s decisions because he and present governor Binho Marques, also a close friend to Marina, were going to talk to her one more time, reported Altino Machado, a journalist from Acre, after calling him personally. Governor Binho Marques issued a note saying that: “as a friend he was sympathetic, but as a governor he had to guard himself.”</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">Yesterday Marina Silva received a Honoris Causa Doctorate from the Federal University of Bahia. Bahia’s governor, Jaques Wagner (PT), a close friend to president Lula, was asked by reporters whether he tried her not lo leave the party. He answered that “Marina’s international and national projection have gone so far that none of us have the power to persuade her of anything anymore.” Everybody is taking it for granted that she has already decided to run.</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">This conviction has certainly been influenced not only by the private conversations they’ve been having with her, but also by her own words to her closer friends and family as journalist’s Altino Machado’s reports: after 32 hours of consultations and reflection, in Rio Branco, the capital city of her home state, she told them: “You don’t have to follow me, stay with PT.”</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">If all these signs are correct and Marina Silva do leave PT and start negotiating an electoral coalition to support her presidential candidacy, the scenario for Lula’s succession will immediately change. This candidacy has the power to radically alter the competitive structure of the game. Marina Silva has far more personal appeal &#8211; call it charisma if you like &#8211; than Dilma Roussef.</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">An illiterate until she was 16 years old, now holds a college degree. She </span><span style="font: 11.0px Verdana; letter-spacing: 0.0px;">spent her childhood making rubber, hunting and fishing to help her father support their large family. </span><span style="letter-spacing: 0.0px;">Her political education was on the social movements of the Amazon region, especially among the rubber-gatherers. She was a part of the independent rubber-gatherers union with Chico Mendes, murdered by ranchers in an attempt to halt their movement. She has a bio any political marketeer dreams of. She won </span><span style="font: 11.0px Verdana; letter-spacing: 0.0px;">the <a href="http://www.goldmanprize.org/theprize/about"><span style="text-decoration: underline;">Goldman Environmental Prize</span></a> for “grassroots environmental heroes,” in 1996, and this year’s <a href="http://blog.norway.com/2009/04/02/the-sophie-prize-2009-awarded-to-marina-silva/"><span style="text-decoration: underline;">Sophie Prize</span></a></span><span style="letter-spacing: 0.0px;">, from</span><span style="font: 11.0px Verdana; letter-spacing: 0.0px;"> Norway, for “</span><span style="letter-spacing: 0.0px;">her courage, her creativity and her ability to forge alliances, but first and foremost for her battle to conserve the Amazon rainforest.”</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">The almost totality of Brazilian environmentalists, mostly PT and Lula’s voters, I asked over the last three days are highly enthusiastic about her candidacy. Several of them are looking forward to help her organize a mobilization campaign using the web social network, inspired on Obama’s.</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">According to sources in Rio Branco, president Lula has called former governor Jorge Vianna, and governor Binho Marques, for a meeting tomorrow, in Brasília, apparently to discuss what can still be done to prevent Marina from officially announcing a decision that appear to have already been subjectively made. If his efforts fail he will also be on dire straits to replace his present Environment Minister who already said will step down on March, to run for Legislative office. President Lula will have to appoint someone with as green credentials as Marina Silva’s and this person won’t be easy to find.</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">When she decides to run, she will also have a tough job ahead. The first task will be to attract other parties to join her on an electoral coalition, in order to increase her TV campaign time. Prime TV campaign time in Brazil is allotted free of cost to all candidates proportionately to the number of seats obtained in the previous election. The Green Party has a minimum portion. A coalition adds each party’s time, to give its candidate enough time to be competitive. Marina Silva could attract from one to three left-leaning mid-sized parties to her coalition. It won’t be easy, but it is clearly possible. After having ensured she will have enough time on TV during the campaign, she will have to design a political discourse that transcends environmentalism and widens her appeal, with a special eye on wage-earners, worried with their incomes and jobs; and the financial markets and business groups wary of her “leftism.”</span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica; min-height: 14.0px;"><span style="letter-spacing: 0.0px;"> </span></p>
<p style="margin: 0.0px 0.0px 0.0px 0.0px; font: 12.0px Helvetica;"><span style="letter-spacing: 0.0px;">Whether she will succeed in setting up a broader appeal time will say. For now, she has agitated the political realm like an Amazon tornado, coming from the waters of the Acre River, and she hasn’t even announced she’d decided to run.</span></p>
<p></span></span></div>
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