Corrib gas controversy

From Wikipedia, the free encyclopedia

 This article or section includes a list of references or external links, but its sources remain unclear because it lacks in-text citations.
You can improve this article by introducing more precise citations.

The Corrib gas controversy has been generated by the plans of of Shell E&P Ireland, Statoil Exploration (Ireland) Limited, Marathon International Petroleum Hibernia Limited, and the Irish government for processing the Corrib gas. The Shell to Sea campaign vehemently opposes the current plans for the project, which it regards as dangerous. The level of opposition to the current configuration of the project has led to the refinery building site at Bellanaboy being the most heavily-guarded in Ireland, with scores of security working around the clock, assisted by sometimes hundreds of Gardaí.

Shell have proposed to develop the Corrib field as a sub-sea production facility with onshore processing. This method of development is claimed by Shell to be in line with best industry practice for gas fields of this type, but no other refinery in the world is so close to a residential community and regional water supply. Many people, especially those who live near the proposed pipeline and refinery, are deeply concerned about the health, safety and environmental impact of the onshore aspects of the scheme, and, citing Shell's record, do not believe the company's assurances. Others are extremely unhappy with the irregularities and precedents surrounding the project. Sinn Féin called for an inquiry into the Corrib deal as early as 2001. Protests by residents have been ongoing daily at the refinery site since the summer of 2005, when five local men were jailed for contempt of court after refusing Shell access to their lands.

The Shell to Sea campaign, (which is trying to have the gas refined at sea rather than inland) was born during their imprisonment, and commands widespread support in County Mayo. A poll conducted throughout the county by TNS/MRBI on behalf of RTÉ's Nuacht (the state broadcaster's Irish language news programme) in September 2006 [1] showed that "6 in 10 feel the Corrib Gas terminal should be located offshore at sea, with just under one quarter supporting the Bellanaboy option. The offshore alternative has strongest support amongst those aged under 49 years, and those residing in Castlebar/Ballinrobe/ Claremorris and Westport/Belmullet areas."

In 2005, five men (who subsequently became known as the Rossport Five) spent three months in jail for refusing to allow Shell workers on their lands. Since then, there have been continuous (and sometimes massive) protests against the project. In the autumn of 2006, the Irish government began to implelment the now-infamous "no-arrest policy" [2], in order to damp down the negative publicity surrounding the project.

Contents

[edit] Beginnings

In 1987, in a move described by Dick Spring as "economic treason" [3], Fianna Fáil Minister for Energy Ray Burke ended all state involvement in oil and gas exploration [4]. In 1992, then Minister for Finance (now Taoiseach) Bertie Ahern extended licensing terms for oil and gas companies, abolished royalties from Irish fields, and drastically reduced the tax rate for exploration companies to the lowest in the world. This prompted a director of Statoil to remark: "No country in the world gives as favourable terms to oil and gas companies as Ireland." [5] The World Bank puts Ireland at the top (in the "very favourable" category) of its index of countries ranked by how congenial their laws are to oil and gas companies, followed by Pakistan and Argentina. Nigeria, where the influence of the oil companies on government policy has been a source of much controversy, only ranks as "average".

[edit] Planning moves

In 2002, planning permission for a proposed refinery in County Mayo was refused unequivocally by Senior Planning Inspector Kevin Moore, of An Bord Pleanála (the Irish planning authority). His report stated: "From a strategic planning perspective, this is the wrong site; from the perspective of Government policy which seeks to foster balanced regional development, this is the wrong site; from the perspective of minimising environmental impact, this is the wrong site; and consequently, from the perspective of sustainable development, this is the wrong site, and that it posed a threat to "a sensitive and scenic environment".

In an unprecedented subversion of the planning process, then Minister for Marine and Natural Resources Frank Fahey told the media that this refusal was "just a hitch" [6]. He was backed by local Fine Gael TD (now leader of that party) Enda Kenny, but opposed by another local TD (also from Fine Gael), Michael Ring. An Bord Pleanála had asked Shell to examine the less profitable option of refining the gas at sea. This was not done. Planning permission was not required for the onshore pipeline as, uniquely, the Irish government decided to classify it as an offshore development.

In 2003 senior executives from Shell sought, and were given, an interview with Ahern, who was now Taoiseach, and other Irish government ministers. Within a week, Ahern met with the board of An Bord Pleanála, who are appointed by the government. The board quickly decided to ignore its inspector's report, and planning permission was granted soon after. Not long before, a huge landslide swept away the whole surface area of a mountain close to the intended pipeline route.

[edit] Project facilitators

In 2005, Ray Burke was jailed for six months for tax evasion. Burke is currently under scrutiny from the Mahon Tribunal for, among other things, payments he received from Rennicks Ltd.. Rennicks Ltd. is associated with businessman Tony O'Reilly, who secured many offshore licenses from Burke and Fianna Fáil in the 1980s. Bertie Ahern's irregular financial affairs during his tenure as Minister for Finance are also being examined by the tribunal. Like his former party leader Charlie Haughey, Frank Fahey has repeatedly failed to explain adequately the source of the wealth that has allowed him to build up an extensive international property and business portfolio [7].

[edit] External links