Exxon Valdez Oil Spill: Causes, Impacts and Link to Neoliberal Policies

Running head: EXXON VALDEZ OIL SPILL
Exxon Valdez Oil Spill
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1EXXON VALDEZ OIL SPILL
Exxon Mobil Corporation is one of the largest publicly traded and world known
international gas and oil company that offers energy, which enable to strengthen the growing
economies of the world and at the same time, it improves the living standards of the people
living around the world (Michael et al. 2015). It has committed towards being the premier
petrochemical and petroleum organisation in the world. However, this company had been
unsuccessful in focusing on its CSR and its objectives when the Exxon Valdez oil spill
disaster had happened i.e., on March 29, 1989 and it was to ensure the safety and protection
of the environment and that of the people. Exxon Valdez oil spill is one of the most
devastating human caused environmental disaster which had happed in the Prince William
Sound, Alaska when the oil tanker- Exxon Valdez, had struck to the Bligh Reef of the Prince
William Sound’s (Fontugne 2015). This phenomenon has resulted in the spill of about
270,000 to 760,000 barrels. The total petroleum industry, especially the oil refinery industry
has some different procedures and processes which are to some extent very destructive and
harmful for the environment as well as the health of the common people. The vessel of the oil
was travelling outside of the usual shipping lanes for avoiding the ice and within six long
hours of its grounding, Exxon Valdez spilled about 10.9 million gallons cargo of Prudhoe
Bay Crude and about eight out of eleven different tanks on the board were completely
damaged (Weis 2014). This event has influenced more than thousand miles of non-
continuous coastline in the Alaska and that made the Exxon, the most devastating and the
largest oil spill in the history of waters in the United States. The event had resulted in many
destructive and negative impacts towards the affected areas. It has influenced the
environment to a great extent and that has resulted in economic impact to the living of the
common people. However, this paper is going to elaborate on the Exxon Valdez oil spill
disaster and would link it between the neoliberal policies and practices promoted through the
different World institutions and by the influential Western governments such as that of USA

2EXXON VALDEZ OIL SPILL
and Canada. Furthermore, this paper would also present the changes in the management
system of government and the Exxon in order to prevent the event from occurring once again
in the future.
Background and history-The Exxon Valdez oil spill disaster is considered to be an
industrial disaster (Rung et al. 2018). Industrial disaster refers to those processes of the major
disruption and harm that are caused by the hazardous or harmful industrial products and
production systems. This disaster or crisis is rooted from all the industrial corporations or
organisations that are activated by the industrial accidents. With the same, it also results in
damage of the environment as well as all the living being present in the ecosystem and at the
same time, disturbs all the linked organisational, social, cultural, political and economic
systems. According to the RIP + HOT framework of Mochizuki et al. (2018), the major
contributory factors to the failures and the internal factors like HOT- Human, Organisational
and Technological and external factors like RIP- Regulatory, Infrastructure and Community
Preparedness. Often, the technological factors trigger accidents and with the same, the
organisational and human context of the technology motivates the preconditions for the
accidents. At the same time, it is also to note that this escalates the damages from the
accidents that are caused because of the inadequacy of the natural or the human made
resources for coping up with the affects or impacts. However according to Aderhold et al.
(2017), the internal and the external factors that have caused the failure of Exxon are that of
the failures in the technological systems, the failures in the organisational systems and the
failures outside the Exxon.
- a. Failures in the technological systems- The failures in the technological system are
the deficiency in the designing of the ship. The significant deficiency in the design of the ship
is the lack of the double hull on the ship that had increased the possibility of the oil spillage
in the water (Hassler 2016). With the same, the outdated communication equipment too were

3EXXON VALDEZ OIL SPILL
faulty and that had resulted in the lost in touch in between the coast guards and the port at the
time of crucial moment. Furthermore, it is also to note that the caption who was in command
of the ship too was under the influence of alcohol consumption and this had resulted in his
incorrect ordering of the procedures. The third mate who was in control of the vessel during
the time was fatigue and was not qualified enough for the responsibility and that had resulted
it to head of the Prince William Sound. Along with these, the crew that was present on the
ship were shorthanded and had low alcohol too and that was completely against the safety
procedure and policy of the ship.
- b. Failures in the organisational system- The deficiency in the organisational system
during that time were many. There were insufficient treatment program for the substance
abuse for all the employees and the personnel (Roman and Lauren 2016). The loose security
system prevailing at that time had permitted alcoholic drinks and drunk captain to abroad the
vessel. Furthermore, it is also to state that the top management of the Exxon had failed to
look after the several different safety issues and also has a misperception of the threats
present in transporting of the oil. Also, the Exxon Shipping Company too had failed to offer a
rested and adequate crew along with a fit master to run the ship because of the cost cutting
pressures. Furthermore, the lack in the follow-up or monitoring actions of the organisation
considering the problem of drinking of the Captain Hazelwood has also contributed a lot in
the entire disaster to take place (Olin 2018). One of the most notable failures which too needs
to get mentioned in this context is the emergency plan of the Exxon, which was completely
poor and unrealistic and that had resulted to the impotency or inability of the Exxon
Company to contain the oil spill.
- c. Failures outside the Exxon- There are many external failures that have resulted in
the oil spill disaster and the most noteworthy are the five separate government emergency
plans, which have completely failed to contain the oil spill. Those five plans were the