What would the economic cost of an oil spill be?
- A 2012 study on the potential economic impact of a tanker spill on ocean-based industries in British Columbia, conducted by the Fisheries Centre of the University of British Columbia estimates that a medium-sized spill on British Columbia’s north coast would cost the regional economy up to $189 million and require $2.4 billion for cleanup costs. A large-sized spill would cost the regional economy up to $308 million and require $9.4 billion for cleanup.
- According to the Government of British Columbia, limits of liability rules in Canada protect a spiller from spending more than approximately $1.3 billion to clean up an oil spill. In this case, costs for clearing beaches of oily waste, disposing of oily waste, rehabilitating oiled wildlife and coastlines, and salvaging wreckage would likely fall to the provincial and federal governments, local businesses and residents (Technical Analysis: Requirements for British Columbia to Consider Support for Heavy Oil Pipelines, p.11).
- According to CRED, it is unclear whether Kinder Morgan would have to come up with clean up costs for land-based spills at all.