Does the White House Understand That It, Not BP, Is the Government? [View All]

In case the White House hasn’t noticed, no one is fooled or satisfied with the arrangement that has BP nominally in charge of protection and cleanup of the massive damage they’ve caused while claiming the Coast Guard is “overseeing” their efforts. We’re talking about fundamental government functions, and BP is not our government.

It’s understandable the White House is working hard to make sure BP pays the costs; that’s both morally and legally sound. But the White House has been working even harder to make sure BP is left in charge and takes the risks and the hits for anything that doesn’t go well. That White House strategy is inexcusable.

Whatever the limitations on government’s ability to deal with the gusher a mile down, once the oil gets in US waters and approaches America’s shores, it’s government’s absolute responsibility to protect public health/safety and environment. Government can demand responsible parties like BP do X, Y, Z and pay for all of it, but it’s up to government to get it done, even if government employees/agents/contractors working with locals/states have to do it themselves. It’s astonishing anyone would think this is not government’s job.

Saying, "we told BP to do X, but they didn’t" or even "BP didn’t tell us we needed to protect this beach or that island" is not acceptable and won’t get it done. BP is not our government.

The industry heads testifying today are saying that loud and clear; they don’t have the incentives, let alone the mindset, to "make this right." Their incentives are to minimize negative perceptions and publicity, to avoid future restrictions on their actions, and to avoid financial responsibility, and thus to conceal facts and delay the truth to further those goals. Expecting otherwise is foolish.

So that’s what BP is doing. Its behavior is awful, but government’s tolerating it is even more inexcusable. Government has the right incentives, or it should, to make this right, and it should be held accountable.

The White House apparently expects us to accept their efforts to maintain BP’s responsibility as a substitute for taking their own responsibility. But governance is not delegable to a private corporation. The entire history of the industry’s relationship with government regulators is a textbook lesson for why that’s true.

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