Last week the state filed a lawsuit against 22 oil companies for polluting the state’s water supply.
The Attorney General charges the gasoline additive MtBE has contaminated more than 15 percent of New Hampshire’s waters.
But the state’s case could be weakened by proposed federal legislation.
As part of the energy bill, Congressional leaders are considering a plan that would give MtBE manufactures protection from lawsuits.
New Hampshire Public Radio’s Dan Gorenstein reports.
The oil industry is lobbying Congress hard to pass what’s called a safe harbor provision for MtBE manufactures.
MtBE is a gasoline additive that reduces auto emissions, but when spilled can harm surrounding water supplies.
New Hampshire is the first state to seek compensation for cleanup from the industry, but is just one of many parties looking for reparations.
Recently, oil companies have paid out millions of dollars to settle lawsuits with local governments.
But manufactures argue they aren’t responsible for pollution damage and cleanup.
They claim the government understood the dangers of MtBE, when the EPA allowed its use in the early 90’s.
4:47the industry has used that argument all along.
New Hampshire Assistant Attorney Maureen Smith.
...It’s a little skewed b/c gov. regulation doesn’t allow a company to produce product that creates threat to groundwater. They have an obligation to test it, make sure it is safe, and not poison the water before they sell it.
With urging from GOP leadership, the US House of Representatives put the safe harbor provision in its energy bill this spring.
The Senate didn’t include the plan.
So now, a Congressional Conference Committee must work out a compromise.
If the measure survives, US Representative Jeb Bradley doubts he would vote for the energy bill.
:32 I don’t believe the manufacturers should be given a blanket exemption from liability in the absence of some kind of settlement that holds them somewhat responsible for the cost of cleanup. Let’s face it, state of NH and private landowners arwe forced to deal with the situation, the manufacturers should be part of the solution.
On the Senate side, a spokesperson for Judd Gregg says the Senator would be more inclined to support an Energy plan without the MtBE provision.
Depending on whom you talk to the safe harbor provision is either a lock or dead in the water.
Congressman Charlie Bass falls into the latter category.
3:06 ultimately I don’t believe this provision will pass. It is not popular in the Senate. I don’t believe it is particularly popular in the House. It was just included in the House version. And it was supported by members that didn’t have a dog in the fight.
Tom Curtis, with the American Waterworks Association, has followed the issue closely.
He believes not only will the provision will stick, but the industry wants even more protection.
5:41 but we understand now that the oil business is trying to apply a retroactive date to sometime last month or even earlier to foreclose lawsuits that have been already have been filed, perhaps even the one filed by your own state.
Assistant Attorney General Maureen Smith acknowledges this retroactive protection possibility influenced the state’s filing date.
Smith says, the safe harbor provision would jeopardize a key claim in their suit, that MtBE is a defective product.
It is also, she says, inherently unfair.
1:13 It would reverse the principal that a company is responsible for the product it produces and any harm it causes.
John Kineese works for the Oxygenated Fuels Association, the industry’s lobbying firm.
He cautions people to remember that MtBE helps clean the air.
And that without any legal shield, all clean fuel programs could be at risk.
7:25 having such language would avoid a premature collapse of clean fuels program and its market.
But Congress is already looking to another industry, producers of the corn-based ethanol, for a source of cleaner fuel.
Both chambers have passed legislation that gradually phases-out MtBE.
In its place ethanol would be used in many parts of the country.
But despite the controversy over safe harbor for MtBE manufactures, Ethanol manufacturers have already persuaded Congress to secure safe harbor for them.
For NHPR News, I’m DG.
